Wednesday, 31 August 2016
Last updated 18 hours ago
Apr 22 2013 | 10:55am ET
Former Diamondback Capital Management trader Todd Newman has asked a judge for leniency in sentencing, telling him that he didn't make as much from the insider-trading scam of which he was convicted in December as prosecutors say.
Newman was found guilty of making $4 million in illicit profits on his trade. But his lawyers said he himself received only $442,761 from them, meaning he should get less than the six-and-a-half years he faces.
"To the extent that the gain is intended to be a measure of culpability—often thought of as a measure of 'greed'—it stands to reason that someone who actually receives less money should be deemed less culpable," Newman's lawyer, Stephen Fishbein, wrote to U.S. District Judge Richard Sullivan last week.
Newman's family also chipped in, with his mother writing that "a separation from her dad would be disastrous" for Newman's 12-year-old daughter.
Newman was convicted of fraud and conspiracy charges alongside Level Global Investors co-founder Anthony Chiasson. Five others have pleaded guilty in the case, including Jesse Tortora, Newman's analyst and the source of his confidential information, and a former SAC Capital Advisors analyst. SAC portfolio manager Michael Steinberg was arrested and charged in the case last month.