Expert-Networker Jiau Convicted In Insider Case

Jun 20 2011 | 1:47pm ET

Federal prosecutors scored their third insider-trading jury verdict in the past two months today with the conviction of accused hedge fund tipster Winifred Jiau.

A Manhattan jury found Jiau guilty of one count of conspiracy to commit securities fraud and one count of securities fraud. The government had accused the former Primary Global Research consultant of selling confidential information about two technology companies to two hedge fund managers.

Jiau, who has been jailed since her arrest last year, is the first person to face trial in the Justice Department's crackdown on expert networks. A total of 13 people have been charged in that case; eight have pleaded guilty, including several of the witnesses against Jiau during the two-week long trial.

The jury took just two days to find Jiau guilty, having been handed the case on Friday.

Jiau's lawyer, Joanna Hendon, said she would file an appeal after Jiau is sentenced on Sept. 21.

Jiau's conviction follows those of four men in the Galleon Group insider-trading case over the past two months. Galleon founder Raj Rajaratnam went down last month, while Zvi Goffer, Emanuel Goffer and Michael Kimelman were convicted one week ago.


In Depth

Virtu Celebrates Another Year Without a Single Day of Losses

Feb 26 2015 | 9:05am ET

High-frequency trading firm Virtu Financial Inc. reported another year without a...

Lifestyle

Hedge Fund Manager Out as Minnesota Wild Minority Owner

Feb 25 2015 | 2:45pm ET

New York hedge fund manager Philip Falcone is no longer a minority owner of the...

Guest Contributor

Risk: How To Get In Front Of The Problem

Feb 26 2015 | 9:53am ET

In considering the topic of risk in the hedge fund world, specifically, the oversight...

 

Editor's Note