A federal appeals court in New York...

A federal appeals court in New York heard oral arguments on whether it should order U.S. District Judge Milton Pollack to disqualify himself from the Drexel Burnham Lambert Inc. insider trading lawsuit. Lawyers for Drexel argued that the judge had shown “anger” and “hostility” to the investment firm when he turned down a request to disqualify himself because of an alleged business link between his wife and Drexel. But lawyers for the SEC argued that the judge doesn’t have a conflict of interest and that Drexel is improperly trying to “shop around” for a more sympathetic judge. A three-judge panel of the U.S. 2nd Circuit Court of Appeals is expected to rule this week.