Ex-SAC Consultant To Testify Against Whitman, Fingers Another SAC Vet

Jul 18 2012 | 2:10am ET

A former SAC Capital Advisors consultant has pleaded guilty to insider-trading, implicating another SAC veteran in the process.

Wesley Wang admitted he shared confidential corporate information with Whitman Capital founder Douglas Whitman, against whom he has agreed to testify. But he also said that he passed tips to Dipak Patel, a former Portfolio manager at SAC's Sigma Capital unit.

Wang worked at Sigma from 2002 until 2005. Patel has not been charged with any wrongdoing.

At a July 13 hearing, Wang said he passed tips about Cisco Systems, Marvell Technology Group and Polycom Inc. to Whitman from 2002 until 2009. In addition to Whitman and Patel, he said he traded tips with former Lanexa Global Management analyst Thomas Hardin, who cooperated with prosecutors in the Galleon Group insider-trading case as "Tipper X."

Hardin isn't the only link to that case in the case against Whitman: Among the potential witnesses in his trial is former Galleon employee Roomy Khan. Whitman's trial is set to begin on July 30.

Whitman's lawyers blasted prosecutors for Wang's late addition and asked a judge to prevent Wang from testifying about tips not included in the charges against their client.

"It is extraordinary, in my experience, that the prosecution would be adding a witness like Wes Wang this close to the trial," David Anderson wrote in a Monday filing.


In Depth

Q&A: MackeyRMS's Chris Mackey On A High Tech Fix To Broker Votes

Jun 23 2017 | 8:17pm ET

The looming implementation of the EU’s MiFID II rules regarding research has put...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: Asia-Focused Hedge Funds Offer Great Opportunities

Jun 23 2017 | 3:33pm ET

Emerging market strategies have outperformed their developed-market peers for five...

 
Error

From the current issue of