Wednesday, 17 September 2014
Last updated 3 hours ago
Feb 3 2011 | 3:15pm ET
The Securities and Exchange Commission has filed civil charges against six people arrested in the Justice Department's wide-ranging insider-trading probe.
Four former consultants for expert-network firm Primary Global Research and two of the firm's employees are accused of helping hedge funds and other clients earn $6 million in ill-gotten gains by passing on confidential information. In return, according to the lawsuits, Primary Global and the consultants earned hundreds of thousands of dollars in fees.
Daniel DeVore, a former global supply manager at Dell Inc., Winifred Jiau, Mark Longoria, formerly of Advanced Micro Devices, and Walter Shimoon, formerly of Flextronics International, were accused of passing on inside tips. Primary Global's Bob Nguyen and James Fleischman were accused of acting as conduits for the illicit tips.
DeVore and Nguyen have pleaded guilty and are cooperating with the investigation.
"Company executives and other insiders moonlighting as consultants to hedge funds cannot blatantly peddle their company's confidential information for personal gain," SEC enforcement chief Robert Khuzami said. "These PGR consultants and employees schemed to facilitate widespread and repeated insider trading by several hedge funds and other investment professionals."
The SEC is seeking injunctions, disgorgements and fines against the six people sued. It also wants DeVore, Longoria and Shimoon barred from serving as an officer or director of a public company.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
The London Whale saga is a twist on the typical rogue trader story as the rogue trader recognized the error of his ways and was prepared to take his medicine but was instructed by superiors to “defe...