Jurors hear taped inquiry of Stewart's former broker

0 Comments | USA TODAY, February, 2004 | by Greg Farrell

NEW YORK -- Jurors in the trial of Martha Stewart finally heard the voice of Stewart's co-defendant Wednesday, when prosecutors played a recording of testimony that Stewart's former broker, Peter Bacanovic, gave to the Securities and Exchange Commission two years ago.

Bacanovic told SEC investigators in February 2002 that the reason Stewart sold her ImClone stock on Dec. 27, 2001, had nothing to do with ImClone CEO Sam Waksal trying to dump his stock that day.

Instead, Bacanovic told investigators that he believed the price was "clearly declining" late in 2001 and that he felt Stewart should get out at a good price. ImClone's stock price plummeted Dec. 28, after the company announced bad news about its experimental cancer drug.

Stewart was "very loath to sell...