Thu, Nov 26, 2015
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. Other Voices: Hedge fund marketing and the selling cycle[more]

    By Bruce Frumerman. How long is the selling cycle now? That’s a question my financial communications and sales marketing consulting firm has been asked on a regular basis by hedge fund firm owners and sales people, ever since we opened the doors to our firm in 1987 pre-crash. Wa

  2. Investing - BlackRock targets ETF investors with flexible currency hedging, Nelson Peltz bets on General Electric Company and Mondelez International, Apple plummets to 4th place among hedge holdings, from No. 1, Top Q3 equity purchases and sales of top 50 hedge funds[more]

    BlackRock targets ETF investors with flexible currency hedging From BlackRock Inc., the world’s largest asset manager, is changing course on exchange-traded funds that protect against currency volatility. After stressing the easy switch between hedged and unhedged ET

  3. BlackRock is shutting down its Global Ascent macro fund[more]

    Komfie Manalo, Opalesque Asia: BlackRock, the world’s largest asset manager, has announced plans to shut down a macro fund, Global Ascent Fund, because of "headwinds facing the industry". The hedge fund, which makes bets on stock, bond and currency markets, will return money to investors. Ac

  4. Opalesque Roundtable: Seeding deal terms can be onerous for hedge funds[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Executives from fund of funds firms, family offices, a placement agent, a private equity firm, and an accounting firm gathered in Connecticut last month for the

  5. Opalesque Roundtable: Family offices flock to co-investment[more]

    Bailey McCann, Opalesque New York: Co-investments have been a hot topic for pension funds in recent years, as they try to move away from high fees and improve transparency. But now, family offices are more readily getting into the mix and establishing in-house deal teams, according to the delega