U.S. District Judge Deborah Batts agreed to release Portland's John Kinnucan on bond. He is accused of passing inside tips to hedge-fund clients about Seattle's F5 Networks, SanDisk and other companies
/ A federal judge in Manhattan ruled that John Kinnucan, the Portland resident and Broadband Research founder indicted on a charge of insider trading, can be freed on $5 million bond, rejecting prosecutors’ claims he engaged in a “campaign” of threats.
U.S. District Judge Deborah Batts agreed to release him on the bond, ordering it be secured by $100,000 cash and property and signed by four financially responsible people.
Kinnucan is accused of passing inside tips to hedge-fund clients about Seattle’s F5 Networks, SanDisk and other companies.
Prosecutors on Thursday argued Kinnucan, 54, posed a danger to the community and a threat to authorities handling his case, citing at least 24 menacing voice-mail messages he left after hours at the office phones of federal prosecutors and FBI agents and also at the homes of two cooperating witnesses during the last two months. Batts said prosecutors came “extremely close” to convincing her he should remain in custody before trial because he posed a danger to the community, prosecutors and agents.
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Kinnucan had been examined by a doctor after his arrest who determined he may be suffering from “dis-inhibition triggered by alcohol.” Hester said Kinnucan’s wife told him her husband recently began drinking between two to three bottles of wine a day.