Mon, Mar 19, 2018
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

SAC will plead guilty to fraud following year long criminal probe

Wednesday, October 30, 2013

Bailey McCann, Opalesque New York:

Connecticut-based SAC Capital, managed by Steven Cohen and the subject of a year long probe by the Securities and Exchange Commission (SEC) will plead guilty to fraud as part of what looks to be a multi-billion dollar settlement with the regulator. According to a report from the Wall Street Journal on Tuesday, the full terms of the settlement will be released next week, and will include admission of guilt to charges of insider trading.

The firm has been the subject of a yearslong investigation by the regulator, and has already paid some of the largest fines in history for insider trading. The payout associated with this settlement is expected to top those, amounting to billions of dollars.

Reuters reports that Cohen will submit the plea in an effort to put the case behind him and continue winding down his business. Negotiations have been underway between the SEC and Cohen for weeks over the specific penalties, which may also include giving the government any ill-gotten trading profits. Current estimates put the settlement at $1.2bn, slightly less than the $1.8bn originally sought by regulators.

Along with the payout, SAC will be banned from managing outside money, but the firm will be allowed to continue ......................

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 - Hedge funds amass big bets against world's leading advertisers, Investor Elliott Management buys tiny stake in Wipro[more]

    Hedge funds amass big bets against world's leading advertisers From Hedge funds have amassed bearish bets of more than $3bn against the world's largest advertising companies in an attempt to profit as the industry undergoes ongoing wrenching disruption and slowing growth. Funds i

  2. News Briefs - Investcorp to launch a $100 million PE fund for Omani pension funds[more]

    Bahrain-based investment firm Investcorp will soon launch a $100 million fund dedicated to Oman's Pension Funds as part of its investment plan. 'The Opportunities Fund' will be focused on private equity investments in the U.S. and Europe and will target mid-sized companies across a broad range of se

  3. DoubleLine's Gundlach sees U.S. 10-year Treasury yield rising, weighing on stocks[more]

    From Reuters/ Jeffrey Gundlach, the chief executive of DoubleLine Capital and known on Wall Street as the "Bond King," said on Tuesday the yield on the U.S. 10-year Treasury note will likely move higher and pressure riskier assets including equities and junk bonds. Gundlach, on an

  4. SEC charges Theranos CEO Holmes with fraud[more]

    Bailey McCann, Opalesque New York: The SEC has charged Elizabeth Holmes, founder and CEO of Theranos and its former President Ramesh "Sunny" Balwani with raising more than $700 million from investors through an elaborate, years-long fraud in which they exaggerated or made false statements about t

  5. Institutional Investors - Overdrawn pension fund scores gains[more]

    From Investments in big banks, pawn shops and rolling papers helped boost public safety workers' underfunded pensions this past calendar years, according to newly released figures. After recording middling returns in recent years, the Police & Fire Pension Fund (P&F) notched