Martha Stewart's Conviction Upheld
01/06/2006 AT 02:00 PM EST
Although the domestic expert has already finished her sentence of five months in prison and another five under house arrest, she was seeking to clear her name.
However, the 2nd U.S. Circuit Court of Appeals in Manhattan, in a 74-page decision, ruled on Friday that no reason existed to challenge the verdict handed down by the jury, the Associated Press reports.
Stewart, 64, and her former stockbroker, Peter Bacanovic, both served their time for lying to federal investigators, who looking into why Stewart sold nearly 4,000 shares of ImClone Systems Inc. stock in 2001, a day before their value dropped.
Among the reasons that the appeals court gave for upholding Stewart's conviction is that, in the court's determination, the trial judge properly described the law to the jurors so that they knew they could not convict the defendants for insider-trading, a crime for which they were never charged.
The appeals court also rejected a defense argument that the trial judge should have permitted them to call a securities law expert to testify about the legality of Stewart's stock trades. The court said that the introduction of additional material may have only confused jurors.