Saturday, 23 July 2016
Last updated 21 hours ago
Sep 13 2010 | 11:14am ET
Robert Moffat, the former IBM executive who pleaded guilty to providing insider information to a defendant in the Galleon Group insider-trading case, will learn today if he’ll spend any time in jail for his crimes.
Moffat will be sentenced in New York today, six months after pleading guilty to conspiracy and securities fraud charges. Prosecutors have asked that he be sentenced to six months in jail, Moffat’s legal team argued that he should receive probation.
Moffat admitted providing confidential information about three companies to Danielle Chiesi, then at hedge fund New Castle Partners. Chiesi is the co-defendant of Galleon founder Raj Rajaratnam and has pleaded not guilty to the charges against her.
Moffat’s lawyers have said Chiesi “played” their client, which whom she was having an affair, for the information, and that Moffat did not profit from the scam. But prosecutors countered that he knew that Chiesi would trade on the confidential information.