Fri, Feb 27, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Update: Martoma insider trading case further drags down hedge funder Steve Cohen

Monday, November 26, 2012

Precy Dumlao, Opalesque Asia: - The insider trading case against former health-care portfolio manager at CR Intrinsic Investors, Mathew Martoma, a unit of Steve Cohen’s $14bn hedge fund firm SAC Capital Advisors, has shed a serious doubt on Cohen himself as he and his firm are further dragged into what the U.S. Federal authorities describe as the "most lucrative" securities fraud in history.

A report by Bloomberg claims that this is the sixth time that an employee of Cohen has been implicated in an insider trading scheme done while at his employ, but this is the first time authorities have evidence that Cohen had talked with a defendant about the stocks involved in the complaint.

Thomas Gorman, a partner in Dorsey & Whitney’s litigation and enforcement practice group based in Washington, told Bloomberg, "This is a significant step forward for the government in their tracing of evidence that seems to be leading to SAC. It also raises the question of compliance procedures and how well they are policed at SAC."

The Federal Bureau of Investigation (FBI) arrested Martoma last week in Florida for allegedly getting inside information on a clinical trial of an Alzheimer's drug; this information allowed SAC Capital to earn at least $276m in profits. He was also being implicated for allegedly using inside tips to avert losse......................

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. Investing - Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched, Myriad hedge fund sold bulk of its Alibaba stake last year[more]

    Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched From Valuewalk.com: As hedge fund manager Seth Klarman, leader of the $28 billion Baupost Group, reviews 2014 performance and considers investors gained near 7 percent on the year, he cons

  2. Adamas Asset Management and Ping An Insurance to co-manage $500m debt fund[more]

    Komfie Manalo, Opalesque Asia: Hong Kong-based Adamas Asset Management and Ping An Insurance Group, one of China’s largest financial institutions, have finalized a memorandum of und

  3. Opalesque Exclusive: dbSelect’s top ten FX strategies average almost 10% in January[more]

    Benedicte Gravrand, Opalesque Geneva: In one of Deutsche Asset & Wealth Management (AWM)’s hedge fund platforms, called dbSelect, a number of FX Strategies did very well in January. dbSelect is a managed investment platform for unf

  4. Opalesque Exclusive: SEC’s Mark J. Flannery warns hedge funds against valuation misconduct[more]

    Komfie Manalo, Opalesque Asia: Securities and Exchange Commission chief economist and director of Division of Economic and Risk Analysis (DERA) Mark J. Flannery has warned of the risks posed by market misconduct, particularly in the true valuation of assets by hedge fund managers. In his

  5. Dymon Asia's $3bn macro hedge fund lost 10.45% in January[more]

    From Reuters.com: Dymon Asia's $3.1 billion macro hedge fund lost 10.45 percent in January, performance data seen by Reuters showed, a month where many peers lost heavily after a surprise rise in the Swiss franc. Singapore-based Dymon, set up by Danny Yong, a former founding partner and chie