First Witness in Martoma Trial Had Delectable Detour in Waffle Business

When Timothy W. Jandovitz left SAC Capital Advisors after five years of grinding out financial numbers and analyzing companies he decided to try his hand at pork belly and burrata-filled Belgian waffles.

His recipes, however, are not likely to be the expertise he will be sharing this week. Rather, Mr. Jandovitz is on tap to be the first witness called by the prosecution at the insider trading trial of Mathew Martoma, a former hedge fund manager at SAC Capital Advisors, whose trial is set to begin in a federal district court in Lower Manhattan on Wednesday after a 12-person jury is selected.

The questions for Mr. Jandovitz likely will focus on the years he worked with Mr. Martoma at SAC as a health care analyst.

Mr. Martoma is accused of obtaining secret information from a doctor about clinical trials for an Alzheimer’s drug. A day later, SAC dumped its shares in the two companies developing the drug, Elan and Wyeth, a move that the authorities say helped the firm avoid losses and generate profits totaling $276 million.

Still, Mr. Jandovitz did have time to pursue other interests. After leaving SAC in December 2010, Mr. Jandovitz set up Bel 50, a Chicago eatery offering “light, crisp, and airy” waffle sandwiches. (The name is a cross between Belgium and the country’s 50 degrees north latitude).

But it doesn’t appear that world of waffles worked out for Mr. Jandovitz. According to the local Chicago Eater, Bel 50 closed down in May 2013. Chicago Eater cites Mr. Jandovitz in a statement saying: “It was absolutely one of the toughest decisions to make but ultimately it was the best choice for everyone involved.”

The restaurant’s website still has a section for investors to inquire about investment opportunities and says it will be opening additional stores.

Mr. Jandovitz, who graduated from Boston College with an economics degree in 1998, is now back on Wall Street working at Jefferies Strategic Capital as a senior vice president.

Prosecutors are expected to rely heavily on the the testimony of two doctors involved in a clinical trial. The government’s star witness is Dr. Sidney Gilman, an 81-year-old retired University of Michigan professor who was a paid consultant to Elan, who earned $108,000 through a consulting firm for his advice to SAC.