Mon, Sep 22, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Greenlight Fined For Trading Abuse In The UK

Thursday, January 26, 2012

Bailey McCann, Opalesque New York: The Financial Services Authority (FSA) in the UK is fining David Einhorn and his firm Greenlight Capital for trading abuses. The fines are split between Einhorn and Greenlight Capital, at just over £3mn pounds each for using insider information when selling shares in a public company in the UK in 2009, according to several press reports.

The FSA is claiming that Einhorn had a conversation with a broker that British company Punch Taverns was about to begin fundraising, prompting Einhorn to sell his position on the company, saving himself and Greenlight £5.8mn. Einhorn claims that the information was not something he considered insider information, but the FSA disagrees and called it in a statement a "serious case of market abuse." The Wall Street Journal offers a full accounting of the FSA timeline here.

Einhorn said in a statement that he feels as though the fines are unfair and inconsistent with previous FSA handling of such matters, but that he plans to pay the fines and focus on his business. Einhorn will have a conference call with investors tomorrow afternoon to discuss the situation. He has assured investors that no investor money will go toward paying the fines.

Einhorn and his firm Greenlight is a well known US based hedge fund. Einhorn has made his career from by taking an activist ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. Institutions - North Carolina workers call on state pension to dump up to $6bn in hedge funds, UK pension fund criticizes hedge fund fees[more]

    North Carolina workers call on state pension to dump up to $6bn in hedge funds From Forbes.com: The State Employees Association of North Carolina this afternoon called on state Treasurer Janet Cowell to withdraw all investments in hedge funds, which appear to amount to approximately $6 b

  4. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  5. Institutions - Adviser's faith in hedge funds unshaken by CalPERS' move Advisers weigh in on CalPERS’ decision, Gina Raimondo sees no reason to follow California’s lead, exit hedge funds, Danish pension funds step up 'alternative investments'[more]

    Adviser's faith in hedge funds unshaken by CalPERS' move From WSJ.com: Financial advisers who use hedge funds in their clients' portfolios say they aren't rethinking that approach after a huge California pension fund announced plans to exit the hedge-fund market. The decision by the Cali