NEW YORK, May 9 (Reuters) – Philip Falcone’s fall from hedge
fund stardom deepened on Thursday when a public company he
controls disclosed that the billionaire investor had reached a
preliminary settlement with U.S. securities regulators stemming
from a probe into market manipulation.
Falcone and his hedge fund, Harbinger Capital Partners, have
agreed to pay $18 million to settle two lawsuits filed by the
U.S. Securities and Exchange Commission, according to a filing
by Harbinger Group Inc, a publicly traded investment
company where Falcone is chairman and chief executive officer.
NEW YORK, May 6 (Reuters) – The California jeweler who gave
a former KPMG auditor cash, merchandise and concert tickets in
exchange for inside information about public companies pleaded
guilty on Monday to one count of conspiracy to commit securities
fraud, according to court papers.
Bryan Shaw, the jeweler who took tips on Herbalife,
Skechers and other companies from his one-time golfing
buddy Scott London, agreed to pay at least $1.3 million in
restitution and will continue to cooperate with the government
as part of a plea deal he struck with federal prosecutors,
according to the documents.
TORONTO/NEW YORK, April 12 (Reuters) – BlackBerry
plans to ask securities regulators in Canada and the United
States to probe what it said is a “false and misleading” report
that consumer return rates for BlackBerry’s new Z10 smartphone
have been especially high.
The Canadian company, which has pinned its turnaround hopes
on its new BlackBerry 10 line of smartphones, went on the
offensive on Friday after the report from Boston-based research
and investment firm Detwiler Fenton sent its stock tumbling on
NEW YORK, April 11 (Reuters) – As investors Carl Icahn and
William Ackman bickered loudly on TV earlier this year about
their opposing bets on Herbalife, two other men were discussing
the company in a different context: getting non-public
information to trade ahead of the stock’s next move.
Referring to Icahn’s announcement that he had purchased a
large stake in the nutritional products company, one of the men
said: “I wish you would’ve known that he was going to release
that and we could’ve made some money.”
NEW YORK, April 11 (Reuters) – U.S. authorities on Thursday
filed criminal and civil charges against a former KPMG senior
auditor who is accused of passing non-public information about
five of KPMG’s corporate clients to a golfing buddy who traded
on the tips.
Prosecutors charged Scott London, the Los Angeles-based
auditor, with one count of conspiracy to commit securities fraud
for giving Brian Shaw, a jeweler, information about public
companies including, Herbalife, Skechers and
Deckers Outdoor Corporation.
NEW YORK (Reuters) – U.S. authorities could file criminal charges against a former senior KPMG auditor and a friend who swapped insider tips on corporate clients of the international accounting firm for cash as soon as Thursday, a source familiar with the matter told Reuters.
Both men are cooperating with the government in its investigation into the tips Scott London, the Los Angeles-based auditor, admitted to giving Brian Shaw, a jeweler, about the companies Herbalife and Skechers.
NEW YORK, April 10 (Reuters) – A former KPMG senior audit
partner who resigned after admitting to passing on inside
information about corporate clients Herbalife Ltd and
Skechers USA Inc was betrayed by the golf partner he had
been tipping, the auditor’s lawyer said.
The unidentified man led federal investigators to former
KPMG partner Scott I. London, after being approached by agents
with the FBI, said Harlan Braun, the lawyer representing London,
NEW YORK (Reuters) – The man who had received inside information on Herbalife Ltd (HLF.N: Quote, Profile, Research, Stock Buzz) and footwear maker Skechers USA Inc (SKX.N: Quote, Profile, Research, Stock Buzz) from a senior KPMG auditor in Los Angeles is cooperating with federal investigators, the former auditor’s lawyer said on Wednesday.
“This was a pretty contained investigation,” said Harland Brawn, the lawyer representing Scott I. London. London left KPMG KPMG.UL last week after admitting to sharing non-public information about the nutritional products group and footwear maker with a golfing buddy who used it to trade stocks.
(Reuters) – In a blow to one of the world’s largest accounting firms, KPMG said it resigned as auditor of two U.S. companies amid an FBI investigation into insider trading allegations involving a former senior partner.
The companies – nutritional products group Herbalife Ltd and footwear maker Skechers USA Inc – said separately on Tuesday that KPMG had quit as their auditor in connection with alleged leaks of nonpublic information.
Michael Steinberg, the SAC Capital Advisers portfolio manager who was arrested at the crack of dawn last Friday morning probably envies former Goldman Sachs trader Matthew Taylor’s rush-hour surrender to the Federal Bureau of Investigation on Wednesday.
While Steinberg was led away in handcuffs as a Wall Street Journal reporter took shaky video footage of the scene outside his door at 6am, Taylor sauntered into FBI headquarters in New York on his own, at 8:30am, having had plenty of time to collect his wits with a cup of hot coffee.