- Bid-Rigging Bond Convictions Reversed.
On December 9th, the Second Circuit reversed the convictions of three employees of General Electric Company who had allegedly conspired to fix below-market rates on interest paid by GE to municipalities for guaranteed investment contracts. A divided panel held that the interest payments GE made did not constitute overt acts in furtherance of the conspiracy because they were ordinary commercial obligations, which were not criminal, and made unilaterally by a single entity, over a long period. Since the interest payments were the only alleged acts to have occurred within the limitations period, the convictions must be reversed as barred by the statute of limitations. U.S. v. Grimm.