Steven Cohen to Testify Before Grand Jury over Insider Trading

Before you go, we thought you'd like these...
Before you go close icon

gavelAs federal officials investigate insider trading at Steven Cohen's SAC Capital Advisors, the noose has begun to tighten around his neck. There has long been a suspicion that he was aware of the illegal practice within his firm, if he did not employ it himself. Worries about the possible legal effects of the probe have caused many of his investors to flee. If Cohen is caught in the government's web, the process likely escalate.

CNBC reported on the investigation of SAC Capital Advisors:

Steven A. Cohen has received a subpoena to testify before a grand jury in the government's insider trading investigation into his hedge fund, SAC Capital Advisors, a development that signals a newly aggressive phase in the multiyear inquiry, according to lawyers and executives briefed on the case.

Issued last week, the grand jury subpoena came as part of a broader round of requests from criminal authorities. Other SAC executives were also named in the subpoenas, the lawyers and executives said, and the fund itself received requests for information about its activities.

The subpoenas suggested that federal prosecutors and the F.B.I. are intensifying their efforts to build a case, not only against SAC executives, but also the fund itself. Typically, a grand jury will hear testimony and review evidence before deciding to approve an indictment.


Filed under: 24/7 Wall St. Wire, Insider Activity, Law, Regulation Tagged: featured
Read Full Story

Markets

S&P 500 2,386.06 -2.71 -0.11%
DJIA 20,954.60 -26.73 -0.13%
NASDAQ 6,049.53 0.60 0.01%
DAX 12,444.07 0.28 0.00%
NIKKEI 225 19,196.74 -55.13 -0.29%
HANG SENG 24,615.13 -83.35 -0.34%
USD (per EUR) 1.09 0.00 0.27%
USD (per CHF) 0.99 0.00 0.06%
JPY (per USD) 111.53 0.30 0.27%
GBP (per USD) 1.29 0.00 0.30%

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners

Large Numbers Of Horses Are Being Stuffed Into These Crates For A Despicable Reason Large Numbers Of Horses Are Being Stuffed Into These Crates For A Despicable Reason
13 People Recount Their First Kiss Horror Stories 13 People Recount Their First Kiss Horror Stories
Man Suspects His Wife Is Cheating On Him - Then His Daughter Reveals What's Really Going Man Suspects His Wife Is Cheating On Him - Then His Daughter Reveals What's Really Going