Judge Finds No Juror Breach in Stewart Case

A federal judge said Monday that she saw no indication of a breach of grand jury secrecy in the Martha Stewart case, rejecting defense demands that the government investigate the source of pre-indictment leaks.

U.S. District Judge Miriam Goldman Cedarbaum said she found it difficult to understand how lawyers for Stewart believed their client might have been prejudiced if someone had leaked the fact that the indictment would not include a charge of insider trading.

Stewart’s lawyers said the leaks violated federal rules that make grand jury proceedings confidential and might have influenced grand jurors.

Stewart, 61, has pleaded not guilty to charges of obstruction of justice, conspiracy, securities fraud and making false statements to investigators.

The charges against Stewart came after prosecutors accused stockbroker Peter Bacanovic of tipping Stewart that the family of ImClone Systems Inc. founder Samuel D. Waksal was trying to sell its shares in the com- pany.

News reports based on anonymous sources before the June 4 indictment accurately predicted the charges against Stewart.