Guidepoint Global LLC, a research firm that links investors with experts, was subpoenaed by Massachusetts Secretary of the Commonwealth William F. Galvin in connection with its relationship to a hedge fund in the state.
“The recent pronouncement about the role of expert consultants and hedge funds is extremely troubling,” Galvin said in an e-mailed statement today. “It is the responsibility of my office as sole regulator of small state-registered hedge funds to fully explore and investigate the role these firms play with these state registered entities.”
Mark Semer, a spokesman for New York-based Guidepoint, declined to comment.
U.S. Attorney General Eric Holder confirmed this week that the Justice Department is conducting a criminal investigation related to illegal trading on Wall Street. Don Ching Trang Chu, an employee of expert-network firm Primary Global Research LLC in Mountain View, California, was arrested on Nov. 24 for allegedly providing insider information to hedge funds. He was charged in a criminal complaint filed by U.S. Attorney Preet Bharara’s office in Manhattan.
Hedge funds including Diamondback Capital Management LLC and SAC Capital Advisors have received government subpoenas related to the probe. None has been accused of wrongdoing.
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