2nd Circ. Won't Narrow Kickback Law In Morgan Stanley Case

Law360, New York (January 28, 2014, 7:11 PM EST) -- The government may pursue kickback charges in the private sector even if the recipient of the money performs some work in exchange, the Second Circuit ruled Tuesday, upholding a former Morgan Stanley & Co. Inc. executive’s conviction for allegedly steering stock-loan business to his family.

A three-judge panel upheld the conviction of Darin DeMizio, the former head of Morgan Stanley’s domestic stock loan desk, who was charged with arranging for stock-loan providers to pay finders’ fees to his brother Craig and father Robert. DeMizio, who received a...
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