SEC v. Banca Della Svizzera Italiana case brief

SEC v. Banca Della Svizzera Italiana case brief summary
92 F.R.D. 111 (1981)

CASE SYNOPSIS

Plaintiff moved the United States District Court for the Southern District of New York, for an appropriate order pursuant to Fed. R. Civ. P. 37, for defendant's refusal to provide information relative to the underlying action for insider trading.

CASE FACTS
Defendant transacted purchases on American securities exchanges that caused plaintiff to bring an action against defendant for insider trading. Defendant failed or refused to comply with discovery requests concerning its undisclosed principals, because such disclosure might have subjected defendant to criminal liability in its home country.

DISCUSSION

• The court stated that it would have been a travesty of justice to permit a foreign company to invade American markets, violate American laws if they were indeed violated, withdraw profits and resist accountability for itself and its principals for the illegality, by claiming their anonymity under foreign law. 
• A final order was to be entered at a later date. In the meantime, the court ordered defendant to complete its answers to all of the demands in plaintiff's First Interrogatories.

CONCLUSION

The court ordered defendant to conform to American laws and complete its answers to all of the demands in plaintiff's interrogatories.

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Securities Regulation in a Nutshell, 10th (Nutshell Series)
Securities Regulation: Examples & Explanations, 5th Edition
Securities Regulations: The Essentials