Ex-Evercore Banker Says Inside Trades for Child SupportBob Van Voris
Former Evercore Group LLC investment banker Frank Perkins Hixon Jr., who pleaded guilty to insider trading prosecutors said was intended to generate funds to pay child support, asked for a prison term of less than four years.
Hixon said today his trading was intended to ensure he remained in contact with his child, conceived during a two-year extramarital relationship with Destiny Robinson, and didn’t stem from greed.
“Mr. Hixon’s actions were a misguided expression of love and support for his younger daughter, whom he desperately feared losing,” his lawyer, William F. Johnson, argued in a July 18 filing in Manhattan federal court.
Hixon, who’s scheduled to be sentenced by U.S. District Judge Ronnie Abrams Aug. 1, said his ex-girlfriend wouldn’t accept money from him. So Hixon traded in Robinson’s account based on inside information, he claimed.
“Her pride would allow her to accept his investment ideas, but not his checks,” Johnson said in the court filing.
Hixon was also charged with using inside information to trade in his father’s account.
Until January, Hixon was a managing director at Evercore. He admitted using confidential information obtained in his work to trade in the shares of Evercore, the investment bank founded by ex-U.S. Deputy Treasury Secretary Roger Altman, Westway Group Inc. and Titanium Metals Corp.
Hixon pleaded guilty to five counts of securities fraud and one count of making false statements to federal agents. He was charged in February in a scheme that ran from October 2011 to January 2013.
Non-binding federal sentencing guidelines call for Hixon to get 46 months to 57 months in prison. Hixon asked Abrams for a sentence below the guideline range, without specifying how much prison time he should get.
The case is U.S. v. Hixon, 14-cr-00227, U.S. District Court, Southern District of New York (Manhattan).