Two criminal trials are scheduled to begin later this month in which former traders are accused of stealing the proprietary computer code used to execute the lightning fast trades at Societe Generale and Goldman Sachs, the WSJournal reports.  In both cases, federal prosecutors in New York asked that the courtrooms be closed for part of the proceedings to protect the firms’ trade secrets.

    SocGen Case.   The trial of former SocGen trader, Samarth Agrawal, began yesterday.  Mr. Agrawal, 27, who's denied wrongdoing, is accused of stealing the SocGen's computer code in hopes of developing a similar trading system at another investment firm.  Last Thursday, U.S. District Judge Jed Rakoff refused to close parts of the trial.  Counsel for the defense requested an open trial, noting:  (i) it doesn’t plan to delve deeply into the computer programs at the trial and no harm would occur to SocGen;  and, (ii) closing the courtroom could create an "unfortunate impression" about Agrawal to jurors. 

    Goldman Case.   The trial of Sergey Aleynikov, a former Goldman Sachs computer programmer accused of stealing the investment bank’s high-frequency trading computer code, is set to begin 11/29.  A judge has yet to rule on whether to close the courtroom in this case. Aleynikov also has denied wrongdoing.   [WSJ Law Blog, 11/5]