[Martha Stewart's] trial has been delayed because the judge ordered the prosecution to turn over notes of an interview of Douglas Fanueil by Fanueil's attorney. (Apparently, the privilege and work product were waived, though I'm not entirely clear on how that happened.) The notes suggest that Fanueil initially told his attorney that it was Bacanovic, Sam Waksal (CEO of Imclone), or maybe even someone else who gave the order to tell Stewart about Waksal's attempted sale of Imclone stock.
This helps Bacanovic because it's some evidence that someone else, not him, directed Fanueil to give the information to Stewart. However, it appears to hurt Stewart, because it reinforces the idea that she in fact knew about Waksal's attempted sale, which appears to be consistent with the indictment's allegation that she lied when she denied knowing about that attempted sale.
Yes, but.... I think it helps Martha in at least two ways. First, it got the judge annoyed with the prosecution. In turn, that could lead to Martha getting the benefit of the doubt from the judge in future discovery or evidentiary disputes. Second, the document will further reinforce the impression that Fanueil is a lying little skunk who told the government what it wanted to hear rather than the truth.
