Martha Stewart Hires Attorney Morvillo

Martha Stewart hired attorney Robert Morvillo to help her team of lawyers defend her in a government investigation of possible insider trading of ImClone Systems Inc. stock.

Morvillo, 64, helped represent Merrill Lynch & Co. when New York Atty. Gen. Eliot Spitzer was investigating conflicts of interest involving research analysts at the firm.

A House committee is looking into whether Stewart sold shares based on a tip from Samuel D. Waksal, ImClone’s former chief executive and a friend of Stewart.

Waksal has been charged with insider trading by the Securities and Exchange Commission and the FBI. Both agencies have continued their investigations.

Stewart, chief executive of Martha Stewart Living Omnimedia Inc., has denied any wrongdoing.

Shares of Martha Stewart Living fell 93 cents to $11.67 on the NYSE.