U.S. judge lets investors pursue SAC insider trading lawsuit

(Reuters) — A federal judge narrowed but refused to dismiss lawsuits by former Elan Corp. and Wyeth shareholders seeking to recoup losses from billionaire investor Steven A. Cohen and his firm SAC Capital Advisors L.P. over insider trading in the drugmakers’ stocks.

In a decision made public on Thursday, U.S. District Judge Victor Marrero in Manhattan dismissed claims for Elan transactions before May 13, 2008 and Wyeth transactions before July 15, 2008, but refused to dismiss other claims.

He also rejected motions to dismiss the lawsuit by Mathew Martoma, a former portfolio manager at SAC’s CR Intrinsic unit who was later found guilty of insider trading, and Sidney Gilman, a professor who prosecutors said gave Mr. Martoma tips.

SAC is now called Point72 Asset Management.