No GlaxoSmithKline Restitution in Criminal Trade Secrets Case

A convicted trade secrets thief doesn’t have to pay restitution to GlaxoSmithKline Plc, a Pennsylvania federal court said.

Federal prosecutors failed to show that the pharmaceutical company suffered a monetary loss due to the theft, the U.S. District Court for the Eastern District of Pennsylvania said.

The court said the government’s claim that the value of secrets stolen exceeds $1 billion doesn’t establish a loss, adding that the law at issue limits recoupment of investigation expenses to those required by prosecutors.

The decision closes the case against a former research scientist for the company, Yu Xue, and her role ...