Court Says Taking Source Code Not Federal Crime

April 11, 2012

A federal appeals court set back government efforts to prosecute corporate espionage with an opinion that explained its recent decision to throw out the conviction of a former Goldman Sachs Group Inc computer programmer. The 2nd U.S. Circuit Court of Appeals in New York said the taking of source code by Sergey Aleynikov was not a crime under a 1996 law that makes it illegal to steal trade secrets. The court said the code did not qualify as stolen goods under another federal law.

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