Sunday, 28 August 2016
Last updated 1 day ago
Dec 6 2013 | 2:12pm ET
A former Dell Inc. employee who prosecutors credited with helping ensnare SAC Capital Advisors' Michael Steinberg has been spared prison.
Daniel DeVore was sentenced to time served and two years of supervised release yesterday. U.S. District Judge Jed Rakoff also ordered DeVore to forfeit $145,750, but did not fine the former supply manager, who passed confidential tips to hedge fund managers while moonlighting at expert network Primary Global Research.
Prosecutors did not object to the no-jail sentence.
Rakoff said that DeVore deserved the same treatment as other cooperating witnesses who offered "vital assistance" in the insider-trading probe. "It seems to me all of that applies totally to Mr. DeVore and warrants a sentence not involving incarceration."
DeVore had faced up to 21 months in prison under federal sentencing deadlines.
Among the hedge fund analysts who DeVore tipped was Jesse Tortora, formerly of Diamondback Capital Management. Tortora in turn passed the information to his boss, Todd Newman, who was sentenced to four years in prison, and to Jon Horvath, Steinberg's analyst and the star witness against his former boss, whose trial is ongoing.