Insider-Trading Scheme Laid Out in a Tale of Recorded Calls
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Trader Garrett Bauer sounded both nervous and confident on the call last month. Federal agents had just searched the home of the man on the other end of the line, a go-between he’d used in an alleged insider-trading scheme that the men thought they’d kept a secret since the mid-1990s.
Bauer, 43, told his friend he believed they’d sufficiently hidden their crimes by talking on disposable cell or pay phones and by using cash from small bank accounts to dole out profits of the alleged scheme. What Bauer didn’t know was that his middleman colleague was recording the conversation for the FBI, according to transcripts of the March 28 call and four others released yesterday when Bauer and a tipster lawyer were charged.