The Justice Department launched a criminal insider-trading and securities fraud investigation of Sen. Richard M.
The Los Angeles Times was successful in obtaining access to the warrant under the Freedom of Information Act.
The Chief U.S. District Judge ordered the Justice Department to file a new version of the warrant with less redactions and more information on what evidence it relied on to seek the warrant.
The public has a right to know more about the government's investigation. The public now has a clear picture of the government's basis for executing a warrant for the senator's cellphone, according to an attorney for The Times.
She wants the government to make another filing so she can look at the remaining redactions. Lawyers for The Times and Reporters Committee for Freedom of the Press are looking at the redactions.
The spokesman for the U.S. attorney's office refused to speak.
While the government was downplaying concerns about COVID-19 in the U.S., Burr sold most of his holdings in his individual retirement account and his wife's holdings. The Federated U.S. Treasury Cash Reserves Fund was used to purchase more than one million dollars in the joint account held by him and his wife.
His portfolio went from 83% to 3% in the stock market. In the affidavit used to justify the search, FBI special agent Brandon Merriman said that the stock market had a "dramatic and substantial downturn" after Senator Burr sold most of his equity. As a result of his stock sales, Senator Burr avoided an estimated $87,000 in losses and made more than $164,000.
The affidavit states that Gerald Fauth sold about $160,000 in stock after talking to and texting with Burr.
According to the FBI affidavit, agents were looking for text messages and other communications about the stock sales as part of an investigation into whether Burr violated a law prohibiting members of Congress from selling stock in companies that do business with them.
The Senate Intelligence Committee chairman had information about the swine flu before he sold his stock. He resigned from the committee after The Times reported on the search warrant.
The public health officials gave the briefings to the senators. Several of them, including California Democrat Dianne Feinstein, were scrutinized by the Justice Department for potential violations of congressional insider-trading rules. There was only one case in which a warrant was obtained.
There were no charges connected to the trades. The justice department dropped the investigation in January 2021. The department's decision to pursue a warrant against a sitting member of Congress was the subject of a lawsuit by The Times.
The story was originally published in the LA Times.
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