Thursday, 29 January 2015
Last updated 6 hours ago
Nov 7 2013 | 10:56am ET
Sandeep Aggarwal, the technology analyst arrested for allegedly passing tips to a former SAC Capital Advisors trader just days after the hedge fund itself was indicted, appears poised to plead guilty to insider-trading charges on the same day as the firm.
Aggarwal has a "guilty plea hearing" scheduled for tomorrow in Manhattan federal court, prosecutors said in a court filing last week. SAC itself is expected to plead guilty to securities fraud charges in the same courthouse tomorrow, if a federal judge approves its $1.8 billion settlement with prosecutors.
"The parties have made substantial progress in our discussions," Assistant U.S. Attorney John O'Donnell wrote, without mentioning any particulars of a plea deal.
According to prosecutors and the Securities and Exchange Commission, Aggarwal, a former Internet analyst at Collins Stewart, gave confidential information about Microsoft Corp. to Richard Lee. Lee, a former SAC money manager, pleaded guilty to insider-trading charges last week in connection with the criminal charges filed against SAC itself on Thursday.
Aggarwal received the information, about a planned deal between Microsoft and Yahoo!, from a friend at the former company. That person was not identified. According to the criminal complaint against him, Aggarwal received the information in July 2009 and then informed Lee. Aggarwal also tipped a second hedge fund, which was also not identified.
Jan 23 2015 | 1:00pm ET
In our new section, FINtech Focus, we will profile one of these firms each week. While fintech is a broad category, we will be focusing on firms that specifically cater to the alternative investment industry. Read more…