Stock Market Fraud Case Opens

A former Wall Street Journal reporter and two co-defendants went on trial today on criminal charges that they used the reporter’s inside knowledge to make quick stock profits. A prosecutor called the alleged actions fraud, while a defense attorney argued that no laws were broken.

R. Foster Winans, his roommate, David Carpenter, and former stockbroker Kenneth P. Felis are charged with conspiracy, securities fraud and wire and mail fraud. The case is being tried before U.S. District Judge Charles E. Stewart Jr. without a jury.