NPR : News

Filed Under:

Federal Authorities Charge 7 In Insider Trading Case

Federal authorities announced charges against seven people in connection with a massive ongoing insider trading investigation that has involved some of Wall Street's most prominent money managers.

Prosecutors said those charged took part in an insider trading scheme that netted more than $61.8 million in illegal profits based on trades of a single stock.

FBI agents arrested two hedge fund executives in New York and one man outside Boston early Wednesday.

Anthony Chiasson, co-founder of the hedge fund Level Global Investors, was among those charged with conspiracy to commit securities fraud and securities fraud. He surrendered to the FBI Wednesday morning. Sigma Capital Management's Jon Horvath was arrested at his New York City home.

Level Global was a client of Primary Global Research, a so-called expert network firm that allegedly arranged contacts between company employees and hedge funds seeking illegal information. Sigma is an affiliate of the giant hedge fund company SAC Capital Advisers.

Also charged was Todd Newman, who formerly oversaw technology investments at Diamondback Capital Management. He was arrested at about 6 a.m. in the Boston suburb of Needham on charges "related to stock fraud," according to a spokesman for the FBI's Boston office.

Federal officials have arrested some four-dozen people so far as part of their insider trading investigation.

NPR's Jim Zarroli contributed to this report, which contains material from The Associated Press.

Copyright 2012 National Public Radio. To see more, visit http://www.npr.org/.

NPR

AfroPunk Acts To Free Your Mind And Your ... Ears

This year's AfroPunk Festival in Brooklyn features artists who are expanding the universe of punk and ideas about who belongs there.
NPR

Friendly, Delicious Rivalry Surrounding Jollof Rice

West Africa's signature dish is jollof, a rice entree to which many countries in the region lay claim. NPR's Ofeibea Quist Arcton explains the culinary wars.
NPR

Since 2012, The Economy Has Changed — And So Has The Conversation

Since the last presidential election, a growing economy has sent the unemployment rate plunging. That improvement has changed the political conversation, but it hasn't stopped worries about wages.
NPR

A Hero For The Arts And Sciences: Upcoming Marvel Covers Promote STEAM Fields

The five covers feature the company's heroes — including Spiderman, Iron Man, and the Hulk — all engaging in activities educators have been trying to promote.

Leave a Comment

Help keep the conversation civil. Please refer to our Terms of Use and Code of Conduct before posting your comments.