A federal appeals court stayed all proceedings...

A federal appeals court stayed all proceedings in the Securities and Exchange Commission’s insider trading lawsuit against Drexel Burnham Lambert Inc. The U.S. Court of Appeals for the Second Circuit, in New York, issued the order while it considers an appeal by Drexel lawyers seeking to disqualify the lower court judge assigned to the case. Drexel’s lawyers argue that the judge, U.S. District Judge Milton Pollack, may be biased because his wife stands to gain $30 million in a transaction for which Drexel is raising financing. It wasn’t clear by how much the stay would delay the case. The appeals court agreed to consider the appeal “on an expedited basis.”