Hedge Fund Tipster Longoria To Plead Guilty

Jun 30 2011 | 1:22pm ET

Prosecutors will win a ninth guilty plea in the Justice Department's crackdown on expert networks this afternoon when former Primary Global Research consultant Mark Longoria faces a judge.

Longoria will plead guilty to passing confidential information about his employer, Advanced Micro Devices, to Primary Global clients, including hedge funds. Longoria is accused of tipping off Spherix Capital, whose founders have pleaded guilty in the Galleon Group case, and Barai Capital Management, whose founder and an analyst have pleaded guilty in the expert network case.

Longoria's plea is no surprise; he told a judge in December, after his arrest, "I'm not trying to fight this," and his lawyer in March admitted that he was "in plea negotiations."

Longoria was a supply chain manager at AMD. He was reportedly one of Primary Global's most sought-after experts.

Prosecutors won their first jury verdict in the case earlier this month with the conviction of former Primary Global consultant Winifred Jiau. A second trial in the case, that of Primary Global executive James Fleishman, is scheduled for later this year.

Prosecutors have until Wednesday to strike a plea deal with another of the men accused, Walter Shimoon. Earlier this month, prosecutors said the two sides "have had conversations regarding a possible disposition of this case."


In Depth

Royalties: The Alternative Assets of the Music Industry

Jul 8 2016 | 7:01pm ET

Recent market volatility has investors seeking greater insight into alternative...

Lifestyle

Moore Capital PM Fired After Raucous Hamptons Party

Jul 7 2016 | 10:47pm ET

A portfolio manager for Louis Bacon’s $15 billion hedge fund Moore Capital Management...

Guest Contributor

MPI: Like Stellar Returns? Better Understand the Risks First

Jul 22 2016 | 8:44pm ET

When the press reports extraordinarily strong relative or risk-adjusted returns...