Mass. Hedge Fund Manager Sentenced For Insider Trading

Nov 29 2006 | 11:11am ET

Hedge fund manager Michael Tom was sentenced yesterday to three years probation, the first six months to be served in a halfway house, after pleading guilty in February to five counts of insider trading, the U.S. Attorney’s office in Boston said. He still faces Securities and Exchange Commission action over the stock trades that netted him and his hedge fund, Burlington, Mass.-based Global Time Capital Growth Fund, $750,000.

Tom, a former senior analyst for Citizens Bank, received the fateful phone call on April 28, 2004, from Shengnan Wang, an analyst at Citizens whom Tom helped hire and who invested in Tom’s fund. Wang told Tom that Citizens was on the verge of acquiring a Cleveland-based bank, which Tom determined was Charter One Financial. Then he got down to business, buying shares and call options in 52 transactions.

On May 4, Citizens announced its plans to buy Charter One. The next day, Tom dumped all of his Charter One holdings, after they had soared in value, of course.


In Depth

Q&A: Pantheon’s McCrary Says Private Equity Market ‘Robust’

Dec 17 2014 | 8:32am ET

Dennis McCrary is a partner at Pantheon, a private equity firm with $32.2 billion...

Lifestyle

Cohen Donates $1.5M To GOP Governors Association

Dec 10 2014 | 7:13am ET

The Republican Governors Association raised close to $25 million from October 1...

Guest Contributor

Q&A With Daniel Gallancy: Institutional Interest In Bitcoin Is Growing Steadily

Dec 12 2014 | 7:54am ET

Daniel Gallancy is founder and CEO of SolidX, a provider of total return swaps for...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

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.