SAC Said to Seek Settlement on Insider-Trading

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Sept. 23 (Bloomberg) -- Last week, lawyers for hedge fund SAC Capital Advisors LP reached out to prosecutors in New York to say that founder Steven Cohen is interested in settling the civil and criminal cases against him and his company, according to people familiar with the matter. Su Keenan reports on Bloomberg Television's "Bloomberg West." (Source: Bloomberg)

Exclusive -- it comes to us from the features editor of " bloomberg businessweek." she has learned that last week, lawyers for the hedge fund, sac capital, reached out to prosecutors in new york to say that stephen: is interested in settling the civil and criminal cases against him -- stephen: is interested in settling stat stephen colin --steven cohen is interested in settling the civil and criminal case against sac.

It would include a substantial settlement.

One factor that is in consideration of resolution of the criminal case is the desire to inflict monetary pain on cohen himself while avoiding damaging other parties like the investors.

The u.s. attorney made this comment when the charges were placed against the firm and late july that while there was a civil case against sac involving money-laundering and possibly seizure of assets, they wanted to proceed and be careful to make sure that third parties were not involved or hurt.

This is what we are hearing and we should point out this is a multi-year investigation that has been conducted against sac and some of its former employees.

In addition to the charges against the firm on july 25, there are two trials against former fund managers and analysts at the firm in one trial will take place november 4 and another is scheduled for november 18. according to people close to the matter, we understand the firm and its founder wish to resolve the matters against the firm.

Would this mean that jail time is not involved for any of these parties?

The sac charges mainly had to do with the culture of the firm.

The government said there was a culture that fostered fraud and showed that insider trading was substantial comer pervasive, and on a scale without precedent.

It is unusual you would have the government criminally indict a firm, an entity, that were mainly financial.

We are told this is why a resolution is being discussed because there were no individuals involved.

It is an indictment of a company which makes it rare and unusual.

The sec case it is againstcohen himself and the outcome might be that he would be banned from operating in the industry.

We are not sure that is being discussed at this point.

Thanks so much for that.

Time for a look "on the markets

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