2nd Circ. Denies Bail For Convicted Duane Reade CEO

Law360, New York (November 15, 2011, 6:59 PM EST) -- The Second Circuit ruled Tuesday that former Duane Reade CEO Anthony Cuti must begin serving a three-year prison sentence for securities and accounting fraud while he appeals his conviction, denying his request for bail.

Cuti was convicted in June 2010 of recording phony real estate earnings made through so-called round trip transactions in a bid to inflate the chain's apparent income in quarters when it seemed unlikely to meet its financial targets.

Cuti, who is scheduled to report to a Lewisburg, Pa., federal prison in January,...
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