Archive
Reuters blog archive
from Commentaries:
Will Sergey cut a deal?
It looks like federal prosecutors may be trying to cut a deal with alleged Goldman Sachs high-frequency trading code stealer Sergey Aleynikov.
Today was the day for prosecutors to indict Aleynikov, who was arrested on July 3 on the theft charges. But in a court filing, prosecutors told the presiding magistrate judge that they need another 14 days to continue discussions with Aleynikov's lawyer about a "possible disposition.''
In the legal world, a "possible disposition'' means a deal.
Now it could be that prosecutors want to get Aleynikov to plead guilty so he can provide evidence against other potential defendants. But I don't think that's the case here.
from Commentaries:
Chez Sergey
Earlier today, my Reuters colleague Steve Eder posted about his journey Sunday to the New Jersey mansion of alleged Goldman Sachs trading code thief Sergey Aleynikov. And what a home it is.
It appears Sergey and his family recently moved into a brand spanking new McMansion in North Caldwell, NJ. As I pointed out last week, North Caldwell just happens to the same town that Tony Soprano was supposed to reside in. And the house Sergey bought isn't much smaller than Tony's.
Guess that means Sergey wasn't planning to relocate to Chicago for his new $1.2 million-a-year job with Teza Technologies.
The Aleynikov abode on Arbor Road is valued at $1.14 million, according to a financial statement Sergey submitted to federal authorities following his July 3 arrest. Other assets Aleynikov listed was a home in Little Falls, NJ he and his wife, Elina, are trying to sell. He listed the market value for that more modest home at $550,000.
from Commentaries:
Sergey and Misha
The name of the Chicago firm that hired alleged Goldman code-cracker Sergey Aleynikov is out and it's a name you've probably never heard of before. That's because Teza Technologies LLC is a new firm--formed in May--by former Citadel Investment Group trader Misha Malyshev.
Malyshev, who had been a top high-frequency trader at Citadel, left the giant hedge fund in February because he felt he was not being sufficiently compensated, says a source familiar with the situation. Malyshev's group was one of the more profitable last year for Ken Griffin's operation, which overall had one of its worst years ever in 2008
And here's the thing: I'm told Malyshev signed a nine month non-compete agreement with Citadel when he left.
Bloomberg first reported that Teza hired Aleynikov and got an email statement from the start-up, in which the firm said it "was not aware of the alleged misconduct.''
agree with Jamaal. all this hype is overblown and computer illiterate, and shame on Goldman and Citadel. Goldman only now figured out that someone downloaded some code month(s) ago? Yet if they say Aleynikov can manipulate markets then what stops Goldman to manipulate markets?! Feds should be all over Goldman for these kind of “scares”. This chaos around Teza makes me think that the guys setting up Teza are the “movers and shakers” in the fin tech market and competitors just scared to death about what they might have to compete against.
You can see HTF affected stocks in day trading, quite funny really. Buy it up in/before the last 3 hours of the day short it 5-8% and go home richer cause the machine is manipulating the price and the pattern is so obvious.