COURT OF APPEALS FOR THE FIRST CIRCUIT
United States v. Kanodia
United States Court of Appeals
For the First Circuit
Nos. 17-1137
17-1590
UNITED STATES OF AMERICA,
Appellee,
v.
AMIT KANODIA,
Defendant, Appellant.
APPEALS FROM THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF MASSACHUSETTS
[Hon. Nathaniel M. Gorton, U.S. District Judge]
Before
Howard, Chief Judge,
Lynch and Thompson, Circuit Judges.
Martin G. Weinberg, with whom Kimberly Homan was on brief for
appellant.
David M. Lieberman, Attorney, Criminal Division, Appellate
Section, U.S. Department of Justice, with whom John P. Cronan,
Acting Assistant Attorney General, William D. Weinreb, Acting
United States Attorney, Randall E. Kromm, Assistant United States
Attorney, and Brian A. Pérez-Daple, Assistant United States
Attorney, were on brief for appellee.
November 22, 2019
HOWARD, Chief Judge. A jury convicted Amit Kanodia of
insider-trading securities fraud and related conspiracy offenses
after a twelve-day trial. Kanodia challenges the sufficiency of
the evidence to sustain his convictions, as well as various jury
instructions. He also appeals the district court's denial of his
motion for a new trial. For the reasons discussed below, we affirm
Kanodia's convictions and the denial of his new trial motion.
I. Facts
To set the stage for our analysis of the sufficiency
challenge, we sketch the facts in a manner hospitable to the jury's
verdicts, while leaving some details for later in the opinion.
See United States v. Rodríguez-Milián, 820 F.3d 26, 31 (1st Cir.
2016).
In or about 2007, Kanodia, an experienced real estate
investor, met Shahana Basu, a U.S.-licensed lawyer living in
London, England, through an online dating service. The two married
in April 2008, at which time Basu moved in with Kanodia in
Brookline, Massachusetts. In February 2012, Basu accepted the
chief legal officer position at Apollo Tyres ("Apollo") in New
Delhi, India. After Basu moved to New Delhi, Kanodia traveled to
India roughly once every two or three months, staying with her for
two or three weeks at a time.
In 2013, Basu helped negotiate Apollo's proposed
purchase of Cooper Tires ("Cooper"), an American company. Apollo
- 2 -
sought to use the acquisition to expand into the U.S. market. The
rumors of that expansion had been in the financial press since
late 2012. Apollo's insider-trading and confidential-information
policies covered Basu's work at the company, including her role
negotiating the Cooper transaction. Nevertheless, shortly after
Basu started at Apollo in the fall of 2012, she began boasting to
friends, sometimes in Kanodia's presence, that Apollo brought her
on board to orchestrate its acquisition of Cooper.
By early April 2013, Apollo and Cooper preliminarily
agreed on Cooper's purchase price. From April through May 2013,
Basu resided at the Waldorf Hotel in New York City while conducting
Apollo's due diligence on Cooper. Apollo considered the Cooper
deal's confidentiality so important that it required Basu and other
top executives to disguise their trip to New York to finalize the
deal. They did so in part by splitting the trip from India into
two legs, with two separate tickets. Kanodia stayed with Basu in
her room at the Waldorf for several weeks beginning in early April.
During her stay in New York, Basu disclosed to two acquaintances
that she was in New York to negotiate Apollo's purchase of a
company, in violation of Apollo's confidentiality policy. Both of
Basu's disclosure
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