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Jul 24, 2013

DOJ’s decision on criminal charges against SAC Capital nears

NEW YORK (Reuters) – Federal prosecutors who have investigated hedge fund titan Steven A. Cohen for years on allegations of insider trading have decided they do not have enough evidence to get him, so they are going after his company instead.

The Manhattan U.S. Attorney’s office is nearing a decision about filing criminal charges against Cohen’s $15 billion SAC Capital Advisors hedge fund, said a person familiar with the matter.

Jul 23, 2013

SAC’s Cohen was too busy to spot insider info in email: lawyers

NEW YORK (Reuters) – Steven A. Cohen’s legal team claims the hedge fund titan was simply too busy to notice some of his employees may have been using inside information to make trades in shares of computer company Dell Inc in the summer of 2008.

For starters, the lawyers argue Cohen was not even at his desk at his SAC Capital Advisors hedge fund when the allegedly improper trading took place on the afternoon of August 26, 2008. Rather, the billionaire trader was working from his vacation home in East Hampton, New York, and likely ignoring many of his emails, including the one U.S. securities regulators say should have tipped off Cohen that some of his top portfolio managers may have had access to nonpublic information about Dell’s earnings.

Jul 19, 2013

SEC says Steve Cohen failed to supervise two of his traders

NEW YORK (Reuters) – The U.S. Securities and Exchange Commission on Friday in a surprising action took a step toward forcing hedge fund mogul Steven A. Cohen out of the industry that he helped build.

The SEC charged Cohen, 57, with failing to supervise former SAC Capital Advisors portfolio manager Mathew Martom and SAC executive Michael Steinberg, both of whom face criminal and civil insider trading charges.

Jul 19, 2013

U.S. SEC seeking to ban SAC’s Cohen from financial industry

NEW YORK (Reuters) – The U.S. Securities and Exchange Commission on Friday in a surprising action took a step toward forcing hedge fund mogul Steven A. Cohen out of the industry that he helped build.

The SEC charged Cohen, 57, with failing to supervise former SAC Capital Advisors portfolio manager Mathew Martom and SAC executive Michael Steinberg, both of whom face criminal and civil insider trading charges.

Jul 19, 2013

SEC rejects settlement with fund manager Phil Falcone

NEW YORK (Reuters) – The U.S. Securities and Exchange Commission voted to reject a deal its enforcement division had struck with once high-flying hedge fund manager Philip Falcone and his hedge fund Harbinger Capital Partners, according to a regulatory filing on Friday by Falcone’s publicly traded company Harbinger Group Inc.

The SEC has not released any public explanation of the decision, which the commission made in a closed-door meeting on Thursday. SEC spokesman Kevin Callahan did not respond to a request for comment.

Jul 17, 2013

Exclusive – U.S. seeks new tactic in financial crisis prosecutions

NEW YORK (Reuters) – U.S. federal prosecutors are considering a new strategy for criminally charging Wall Street bankers who packaged and sold bad mortgage loans at the height of the housing bubble, according to a federal official familiar with the investigation.

The official said federal authorities are finding new evidence they say indicates intent to commit fraud over the packaging and sale of mortgage bonds backed by subprime home loans in some of the civil lawsuits plaintiffs’ lawyers have filed against large banks.

Jul 17, 2013

US seeks new tactic in financial crisis prosecutions

NEW YORK, July 17 (Reuters) – U.S. federal prosecutors are
considering a new strategy for criminally charging Wall Street
bankers who packaged and sold bad mortgage loans at the height
of the housing bubble, according to a federal official familiar
with the investigation.

The official said federal authorities are finding new
evidence they say indicates intent to commit fraud over the
packaging and sale of mortgage bonds backed by subprime home
loans in some of the civil lawsuits plaintiffs’ lawyers have
filed against large banks.

Jul 17, 2013

Exclusive: U.S. seeks new approach in financial crisis criminal probes

NEW YORK (Reuters) – Federal prosecutors are considering a new strategy for criminally charging Wall Street bankers who packaged and sold bad mortgage loans at the height of the housing bubble, according to a federal official familiar with the investigation.

The official said federal authorities are finding new evidence they say indicates intent to commit fraud in some of the civil lawsuits that plaintiffs’ lawyers have filed against large banks over the packaging and sale of mortgage bonds backed by subprime home loans. And they are exploring whether they can build criminal cases against bankers by using a 1984 law intended to punish individuals for scamming commercial banks.

Jul 17, 2013

US seeks new approach in financial crisis criminal probes

NEW YORK, July 17 (Reuters) – U.S. federal prosecutors are
considering a new strategy for criminally charging Wall Street
bankers who packaged and sold bad mortgage loans at the height
of the housing bubble, according to a federal official familiar
with the investigation.

The official said federal authorities are finding new
evidence they say indicates intent to commit fraud in some of
the civil lawsuits that plaintiffs’ lawyers have filed against
large banks over the packaging and sale of mortgage bonds backed
by subprime home loans. And they are exploring whether they can
build criminal cases against bankers by using a 1984 law
intended to punish individuals for scamming commercial banks.

Jul 9, 2013

Media bias hurts SAC executive’s right to fair trial: lawyer

NEW YORK (Reuters) – Relentless media coverage is hindering SAC Capital executive Michael Steinberg’s chances at a fair trial because it mostly presumes his guilt on insider trading charges, Steinberg’s lawyer claimed in a memo filed in federal court in New York on Tuesday.

To fix the problem, Steinberg’s legal team asked for permission to have potential jurors fill out a questionnaire to identify any potential bias among them, according to the memo.

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      "Based in New York covering financial crimes, including insider trading, investment scams, accounting fraud and financial firm misconduct."
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