Race Jones
gangster. grace. alchemy
131 Federal Judges Broke the Law by Hearing Cases Where They Had a Financial Interest
The judges failed to recuse themselves from 685 lawsuits from 2010 to 2018 involving companies in which they or their family held shares, a Wall Street Journal investigation found. “I am mortified,” said one. “I just blew it.”
www.wsj.com
More than 130 federal judges have violated U.S. law and judicial ethics by overseeing court cases involving companies in which they or their family owned stock.
A Wall Street Journal investigation found that judges have improperly failed to disqualify themselves from 685 court cases around the nation since 2010. The jurists were appointed by nearly every president from Lyndon Johnson to Donald Trump.
About two-thirds of federal district judges disclosed holdings of individual stocks, and nearly one of every five who did heard at least one case involving those stocks.
Alerted to the violations by the Journal, 56 of the judges have directed court clerks to notify parties in 329 lawsuits that they should have recused themselves. That means new judges might be assigned, potentially upending rulings.
When judges participated in such cases, about two-thirds of their rulings on motions that were contested came down in favor of their or their family’s financial interests.
Judges offered a variety of explanations for the violations identified. Some blamed court clerks. Some said their recusal lists had misspellings that foiled conflict-screening software. Some pointed to trades that resulted in losses.
Alerted to the violations, 56 judges directed court clerks to notify plaintiffs and defendants in more than 300 lawsuits that they should have recused themselves. That means new judges might be assigned, potentially upending rulings.
WSJ identified 36 conflicts by one judge, who said he didn't know what stocks he owns because a money manager handles them and his wife fills out his financial disclosure forms. He said because he doesn’t know, he couldn’t have a conflict of interest
A Post-Watergate Law Some Judges Overlook
Rules are clear that judges must bow out of cases if they have a financial interest. Sanctions of violators are rare.
www.wsj.com
New Jersey federal Judge Brian Martinotti traded Wells Fargo stock while hearing a case in which the bank was the defendant, and he ruled in its favor. Informed of the violations by WSJ, a court clerk notified parties of the conflict.
