Ex-Heartland GC Engaged In Insider Trading: Judge

Law360, New York (April 1, 2011, 4:10 PM EDT) -- A Wisconsin federal judge found Thursday that Heartland Advisors Inc.'s former general counsel and chief compliance officer engaged in insider trading in advance of her company’s forced devaluation of its municipal fund portfolio.

Jilaine H. Bauer “possessed material, nonpublic information, and therefore engaged in insider trading when she redeemed her shares of Heartland’s short-duration high-yield municipal fund” in October 2000, according to the order from Judge Charles N. Clevert Jr. of the U.S. District Court for the Eastern District of Wisconsin.

The municipal fund portfolio at...
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