Prousalis, Jr. v. Moore, No. 13-6814 (4th Cir. 2014)Annotate this Case
Defendant pled guilty to three counts arising from his fraudulent activity in connection with a client's initial public offering. Defendant sought habeas relief, contending that, in light of the Supreme Court's intervening decision in Janus Capital Group, Inc. v. First Derivative Traders, the conduct for which he was convicted is no longer criminal. The court found Janus inapplicable outside the context of Section 10(b) of the Securities Exchange Act, 15 U.S.C. 78j(b), implied private right of action. Therefore, Janus does not affect defendant's criminal convictions. Because defendant's convictions are proper under current law, the court concluded that his section 2241 petition necessarily failed. Accordingly, the court affirmed the dismissal of his petition.