Aug 8 (Reuters) – The U.S. Department of Justice has stepped
up a probe in recent weeks into Bear Stearns & Co’s mortgage
dealings in the run-up to the financial crisis, according to two
sources familiar with the situation, raising the possibility
that JPMorgan Chase & Co may face yet another case over
Justice Department lawyers in Washington have been
interviewing people linked to Bear Stearns’ mortgage
securitization business, EMC Mortgage Corp, over sales of
mortgage bonds going into the housing crisis, the sources said.
(Reuters) – Lawyers for SAC Capital Advisors founder Steven A. Cohen expressed support for a government motion to delay insider trading civil proceedings against Cohen, pending related criminal charges against his hedge fund, according to a court filing on Friday.
Cohen’s defense lawyers said that they supported the Justice Department’s motion, with the caveat that the Securities and Exchange Commission promptly provide documents relating to the case, which consists of “at least 375 million pages”.
NEW YORK (Reuters) – Holding people liable for roles they played in the 2008 financial crisis has not been easy for the U.S. Securities and Exchange Commission, which a jury ruled mostly for on Thursday in the civil fraud trial of former Goldman Sachs trader Fabrice Tourre.
The SEC says it has brought enforcement actions against 157 people and entities and collected $2.68 billion in penalties and other monetary judgments in response to the crisis. Only three of these cases have gone to trial, and the results, at best, are mixed.
NEW YORK, Aug 1 (Reuters) – Holding people liable for roles
they played in the 2008 financial crisis has not been easy for
the U.S. Securities and Exchange Commission, which a jury ruled
mostly for on Thursday in the civil fraud trial of former
Goldman Sachs trader Fabrice Tourre.
The SEC says it has brought enforcement actions against 157
people and entities and collected $2.68 billion in penalties and
other monetary judgments in response to the crisis. Only three
of these cases have gone to trial, and the results, at best, are
(Reuters) – A securities analyst accused of leaking secret information in 2009 about a potential partnership between Yahoo and Microsoft to an SAC Capital Advisors hedge fund manager and other traders was arrested and charged in California, prosecutors said on Tuesday.
Sandeep Aggarwal, who worked as an analyst covering technology stocks before moving to India to start his own internet company, was arrested on Monday by FBI agents in San Jose while visiting the United States. He made his initial appearance in San Francisco federal court on Tuesday, charged with conspiracy to commit securities fraud and wire fraud related to insider trading.
NEW YORK (Reuters) – She was called a “dumb ass” on national television on Sunday, but things got worse for reality TV “Real Housewife” Teresa Guidice on Monday when she and her husband, Giuseppe, were charged with fraud and tax evasion.
The two cast members of “The Real Housewives of New Jersey” were indicted in U.S. District Court in New Jersey on a total of 39 charges, including bankruptcy fraud, making false statements on loan applications, bank fraud and conspiracy to commit mail and wire fraud, according to court filings.
NEW YORK (Reuters) – Billionaire investor Steven A. Cohen’s hedge fund pleaded not guilty on Friday to insider trading charges in federal court, as investors in the roughly $15 billion fund awaited word on plans for the fund’s future.
Several SAC Capital Advisors LLP clients said they had yet to be contacted officially by the firm in an investor-wide call or note. Investors have until August 16 to decide if they will submit a redemption request to the fund. At least one client called, but could get no information.
NEW YORK (Reuters) – The decision by federal prosecutors to bring criminal charges against hedge fund SAC Capital Advisors LP, rather than its billionaire owner, Steven A. Cohen, makes it more likely that the government will be able to secure a guilty verdict, lawyers say.
Attorneys who are following the case said they believe prosecutors have met the standard for convicting a corporation under federal law.
NEW YORK (Reuters) – Federal prosecutors came down hard on billionaire hedge fund manager Steven A. Cohen on Thursday, unveiling criminal fraud charges against his SAC Capital Advisors LP that could put an end to his investment career.
An indictment and a civil case seeking an asset freeze and criminal money laundering penalties, cap a seven year-long investigation of one of Wall Street’s most renowned firms amid a crackdown on insider trading that led to scores of convictions.
NEW YORK (Reuters) – A former employee of SAC Capital Advisors’ Chicago office, Richard Lee, was once part of an “insider trading group” at a rival hedge fund, according to court filings, and a source familiar with the matter said the hedge fund Lee had worked for was Citadel Investment Group.
Charges filed in U.S. District Court in New York on Thursday against Steven A. Cohen’s SAC Capital describe the move Lee made from a hedge fund, identified only as “Hedge Fund A” to SAC, despite a warning that Lee “was known for being part of Hedge Fund A’s ‘insider trading group.’”