Michael Steinberg, once a top employee at New York fund SAC Capital Advisors, sought an “illegal edge” through insider information, federal prosecutors allege.
Steinberg is in Manhattan’s U.S. District Court over allegations he relied on corrupt analysts for information not available to the public. One of those analysts has pled guilty to insider trading, reports Reuters. Steinberg is charged with five counts of securities fraud and conspiracy to commit securities fraud.
Read: SEC charges tipper in S.A.C. insider trading case
Nine people who currently, or once worked at SAC are now either charged or implicated in wrongful trading, and six have pled guilty. SAC will plead guilty and pay $1.8 billion to settle fraud charges related to the matter.
Read: Firm pleads guilty to insider info, fined $1.8
Mathew Martoma, a former SAC Capital fund manager, faces a separate insider trading trial in January, says Reuters.
Read more here.
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