Tuesday, 30 September 2014
Last updated 1 hour ago
Apr 11 2013 | 12:10pm ET
A jeweler and diamond dealer was the recipient of insider information about Herbalife and Skechers, provided by a former KPMG partner.
Bryan Shaw said he was the beneficiary of the tips given by Scott London, who was fired by KPMG last week over the disclosures. KPMG then resigned as auditor to the two companies, a further headache for Herbalife, which Pershing Square Capital Management's William Ackman has accused of running a pyramid scheme.
Shaw had not been previously identified. But yesterday his lawyer issued a statement, in which Shaw admitted he "received non-public information from Scott London about a number of companies and then profited substantially from stock trades based upon that information." Shaw said he traded on the tips from 2010 until last year.
"I cannot begin to apologize for my incredibly stupid actions," Shaw added. "There is no excuse for my wrongful conduct."
"Over the past several months, I have fully cooperated with the FBI, the SEC and the U.S. Department of Justice in their ongoing investigation of this matter," Shaw continued. "I expect that my actions will result in significant civil and criminal consequences, but I realize that this is the painful price I will pay for my transgressions."
Shaw and London met at a golf club.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...