You reap what you sow.
Bloomberg reports that former Mizuho International Plc investment banker Thomas Ammann was sentenced to 32 months in prison for passing inside information about deals he was advising on to two women he was dating.
Ammann, a 39-year-old German national who worked on the Mizuho mergers and acquisitions team advising Canon Inc. (7751) on its takeover of OCE NV, must serve half of the sentence, Judge Anthony Leonard ruled Thursday.
Jessica Mang and Christina Weckwerth were cleared of trading on illegal tips from him after a London trial last month. Ammann pleaded guilty earlier this year to insider trading and encouraging both women to commit insider trading.
'It is clear that without your encouragement, neither of these women would have traded in OCE shares', Leonard said. 'You made use of that inside information deliberately and dishonestly'.
Mang and Weckwerth nearly doubled the amount they invested then paid half their profits to Ammann, the U.K. Financial Services Authority said prosecuting the case at a four-week trial. Ammann tried to avoid getting caught by having his girlfriends, who didn’t know the banker was dating them simultaneously, make the trades, the FSA said.
In the meantime, Bloomberg also reports that five Deutsche Bank employees arrested Wednesday on allegations of obstruction of justice and money laundering will make their first court appearance Thursday.
A judge at the Frankfurt local court will allow the suspects to comment on the accusations, Guenter Wittig, a spokesman for the Frankfurt General Prosecutor, said by phone. He declined to identify them.
'That’s the normal course of events', Wittig said. 'If police arrest someone, a judge has to rule on whether the person can be held or needs to be released'.