SAC Capital Judge Queries Record $602 Million SEC Settlement
This article is for subscribers only.
SAC Capital Advisors LP will have to wait to learn if its $602 million insider trading settlement with the Securities and Exchange Commission can go forward, after a Manhattan judge raised questions over a provision that allows the hedge fund to avoid admitting it did anything wrong.
SAC and the agency asked U.S. District Judge Victor Marrero today to approve the agreement, which is the SEC’s biggest insider-trading settlement. It would resolve SEC claims that SAC and its CR Intrinsic Investors LLC unit profited from illegal tips about an Alzheimer’s drug received by a former portfolio manager, Mathew Martoma.