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PROFILES OF KEY PLAYERS

THE DEFENDANTS
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Martha Stewart

Born Martha Kostyra to a middle class New Jersey family, Stewart was a model during her college years at Barnard College. She married Yale Law School student Andrew Stewart and had one daughter, Alexis.

After her modeling career came to a halt, she enjoyed a successful run as a licensed stockbroker from 1965 to 1973. The Stewarts would spend their work week in New York City and retreat to a farmhouse they were restoring in Connecticut, before settling there permanently after she left Wall Street.

While running a successful catering business, she published her first book, Entertaining, in 1982, sending her on her way to becoming the icon of homemaking.

Known for her elegant style in the home arena, Stewart has a reputation for being tough and ambitious in the business world. She and her husband split in 1987, and Andrew Stewart later remarried, his new wife a former employee of his ex-wife.

With a $5 million contract from Kmart to hawk household products, guest spots on popular morning shows, her television series, a magazine and a slew of books to her credit, Stewart became of the richest women in the United States.

She served as the CEO of the corporation she founded, Martha Stewart Living Omnimedia, Inc., until she resigned her post in the wake of her indictment. She also served on the board of directors of the New York Stock Exchange until she stepped down during the investigation.

Peter Bacanovic

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Born in Manhattan, Bacanovic has been a fixture in New York's upper crust social circles. A graduate of Columbia University, joined Merrill Lynch in 1993. His clients included Martha Stewart and ImClone co-founder Samuel Waksal.

Bacanovic, 41, was vacationing in Miami on Dec. 27, 2001, the day of Martha Stewart authorized her now-infamous stock trade. In the midst of a federal investigation, the handsome 41-year-old was fired from Merrill Lynch.

Bacanovic says he and Martha Stewart agreed to sell ImClone when it dropped to $60 a share, but federal prosecutors accuse him of concocting the story to cover-up his role in allegedly leaking information garnered as Waksal's broker.

Facing trial for conspiracy, obstruction, perjury, making false statements to investigators and falsifying documents, he will be seated in the courtroom at the defendant's table along with Martha Stewart.

THE STAR WITNESS
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Douglas Faneuil

The 27-year-old assistant to Peter Bacanovic could prove to be a pivotal witness to the prosecution's case, after admitting before a judge that he accepted perks from his former boss at Merrill Lynch in exchange for his silence. The defense is likely to point out that the Newton, Mass., cut a deal for himself on a misdemeanor charge in exchange for his testimony.

Faneuil, according to court documents, admitted to inappropriately passing along information about the sale of the Waksal shares on Dec. 27, 2001, to an unnamed "tipee" who in turn sold ImClone stock for $228,000. In exchange for his plea deal, he is expected to testify against Stewart and Bacanovic.

The baby-faced Newton, Mass., native joined Merrill Lynch in early 2001, after a four-year stint at D.E. Shaw & Co.

THE LAWYERS

Stewart's Lawyer: Robert Morvillo

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Regarded as one of the foremost white collar criminal lawyers in the country, Robert Morvillo has represented such clients as former congressman Robert Garcia and John Zaccaro, husband of former vice presidential candidate Geraldine Ferraro. Even young Sopranos star Robert Iler sought him out when he was charged with robbery.

After receiving his undergraduate degree from Colgate, Morvillo went on to law school at Columbia University. After working as a federal prosecutor in Manhattan, including a stint as chief of the criminal division, Morvillo co-founded his current law firm in 1973, which specializes in white collar criminal defense work.

Bacanovic's Lawyer: Richard Strassberg

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Representing Peter Bacanovic, Richard Strassberg should feel right at home litigating inside Manhattan's federal courthouse. Strassberg began his law career clerking for a federal judge in the same building where his client and the domestic diva are now being tried. He later worked as federal prosecutor for the U.S. Attorney's office for New York's Southern District — the same office prosecuting Stewart and Bacanovic.

Like Robert Morvillo, Strassberg has earned a reputation as a top white collar defense lawyer. He has headed up white collar divisions on both sides, first as chief of the U.S. Attorney's office major crimes unit, and currently as chair of the specialty at firm Goodwin Procter, where he is a partner.

Strassberg earned his bachelor's degree from Cornell University before attending Harvard Law School. In addition to practicing law, he is also an adjunct professor at Fordham Law School.

Lead Prosecutor: Karen Patton Seymour

Head of the criminal division of the U.S. Attorney's office, 42-year-old Karen Patton Seymour has not tried a case since accepting the position in 2002.

But prior to overseeing more than 150 prosecutors in her current capacity, Seymour had plenty of courtroom practice. As a federal prosecutor she successfully tried an aide to junk bond king Michael Milken and a former AT&T executive.

She left Manhattan's U.S. Attorney's Office in 1996 for private practice but returned six years later.

Born in Texas, Seymour graduated from Texas Law School and earned a post-graduate degree from the University of London.

THE JUDGE

Judge Miriam Goldman Cedarbaum

Known for her no-nonsense and conservative courtroom style, U.S. District Court Judge Miriam Goldman Cedarbaum has been described in legal circles as a fair judge. The 74-year-old Brooklyn native was one of only eight women in her graduating class when she earned her law degree from Columbia University in 1953.

The Martha Stewart trial isn't Cedarbaum's first brush with highly-publicized cases. As a federal judge, she has presided over cases dealing with reputed organized crime figures, former heavyweight champion Hasim Rahman and the RIAA's bid to block music downloads.

    Domestic diva Martha Stewart and her stockbroker, Peter Bacanovic, stand trial for conspiracy, perjury, securities fraud and obstruction of the investigation into the sale of her stock in ImClone, a biotech firm.
   
    Case background
Full coverage
   
    Prison living
   
    Two sides of the story
   
    Case timeline
   
    8 women, 4 men
   
    Federal statutes
   
    Martha Stewart
Peter Bacanovic
Douglas Faneuil
The lawyers
The judge
   
    Discuss the case
   
    Rochelle Steinhaus
Courttv.com's trials editor discusses the case
Gerald Lefcourt
Defense lawyer analyzes the Stewart scandal
   
    Verdict Sheet
Jurors had to fill out this form when they decided their verdict.
New Indictment
After the judge tossed the securities fraud charge against Martha Stewart, count nine was dropped from the original indictment.
Original Indictment
This federal indictment charges Martha Stewart and her financial advisor, Peter Bacanovic, with nine counts (PDF)
Defense's Argument
An excerpt from this motion filed by the defense outlines Martha Stewart's side of the story.
E-mail Exhibits
E-mails from Bacanovic and his assistant on the day of Martha Stewart's trade were turned over to federal authorities.
Waksal's Phone Log
Former ImClone CEO turned over these message logs, which show calls from Martha Stewart on the day she sold her stock.
Faneuil Information
Bacanovic's assistant, Douglas Faneuil, was charged with these misdemeanor counts but later cut a deal.
Waksal Complaint
Read the charges filed by the SEC against Samuel Waksal, who is now serving an 87-month prison sentence.
   
 

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