Former SAC Analyst Spared Prison After Naming 20 Suspects

Jan 10 2013 | 2:05pm ET

The former SAC Capital Advisors analyst who named 20 names in the government's ongoing insider-trading crackdown was rewarded for his cooperation yesterday.

Wesley Wang, who faced up to 10 years in prison, won't spend a day behind bars. U.S. District Judge Jed Rakoff, who said "the extent of Mr. Wang's cooperation goes beyond that of most cooperators," sentenced him to just two years probation.

Wang pleaded guilty in July to conspiracy charges, and a month later testified against his former boss, Whitman Capital founder Doug Whitman. Whitman, like everyone else who has gone to trial for insider-trading in recent years, was convicted.

But prosecutors told Rakoff that Wang's cooperation had gone much farther. In a letter to the judge earlier this month, they said he had identified about 20 suspected insider-traders, including his former boss at SAC's Sigma Capital unit, Dipak Patel, and his bosses at Trellus Management, where he worked after leaving SAC in 2005.

Neither Patel nor Wang's bosses at Trellus, who were not identified by name, have been charged with any wrongdoing. Wang must continue to cooperate with the authorities.

"I am disappointed in myself and I am trying to contribute back to my society," Wang told Rakoff at the New York hearing.


In Depth

Q&A: Brevan Howard’s Charlotte Valeur Talks Strategy

Sep 18 2014 | 11:18am ET

Charlotte Valeur chairs the board of Brevan Howard Credit Catalysts, an LSE listed...

Lifestyle

Hedgies Rock Out For Children's Charity

Sep 15 2014 | 8:40am ET

It's that time of year again—when hedgies trade in their spreadsheets for guitars...

Guest Contributor

Volkered: How Financial Sector Reforms are Creating Opportunities for Hedge Funds

Sep 16 2014 | 11:28am ET

New regulations have dramatically curtailed proprietary trading activity in investment...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    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…

 

Futures Magazine

September 2014 Cover

The London Whale: Rogue risk management

Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.