U.K. Legal-Aid Cuts Delay Insider-Trading Trial to 2016

Legal-aid cuts will delay a trial for six men, including former Deutsche Bank AG Managing Director Martyn Dodgson, in the U.K.’s largest insider trading probe until 2016.

The September start date was pushed back by a London judge today to January 2016 after government cuts left four defendants without trial lawyers for six months and delayed case preparation.

That will be almost six years since the British markets regulator led dawn raids in Operation Tabernula, Latin for “little tavern,” in March 2010, arresting seven men including Dodgson. Several Financial Conduct Authority cases have been stymied this year by government cuts to trial-lawyer fees, leaving defendants without representation. The government is trying to trim 350 million pounds ($596 million) from the 2 billion pound annual legal aid budget.

It’s “a bitter regret” that the case will be delayed so long, Judge Jeffrey Pegden said. “That is the unhappy state that we’re in, I’m afraid.”

Grant Harrison, a former managing director at Altium Capital Ltd.; private day trader Benjamin Anderson; Iraj Parvizi, a former director at Aria Capital Ltd.; Andrew Hind and Richard Baldwin will go on trial alongside Dodgson.

Parvizi pleaded not guilty in December. The others will enter pleas next year, Judge Pegden said today.

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