Trader admits to 'gambling' and big losses

Lucky Dice

It was easy come, easy go.

The New York Post reports that Jesse Tortora, the former tech professional turned U.S. government witness - who was at the centre of what prosecutors call a 'corrupt circle' of insider-trading pals - said he lost most of his millions gambling in Vegas, day trading and paying legal fees.

The 37-year-old Tortora, testifying for the third day in the case against SAC top money man Michael Steinberg Monday, said his big year at now defunct hedge fund Diamondback was 2008, when his compensation hit $2.5m. He only made $800,000 in 2009 and left the firm that was founded by former SAC portfolio managers early in 2010.

Tortora, who is living with his parents in Florida while he awaits sentencing for his cooperation in the Steinberg trial, said he has only $100,000 left from his years of living high as a hedge-fund analyst.

While the financial crash decimated portfolios of millions of Americans in 2008, that was Tortora’s big year, when insider trading tips about Dell, among others, paid off.

Steinberg traded on that insider tip and knew it was illegal, prosecutors allege.

To access the complete New York Post article hit the link below:

Tortora: I lost millions gambling, day trading

Banks to sue over new CFTC rules

image: © AlexH

JefferiesAnd the Best Place to Work in the global financial markets 2018 is...

Register for HITC Business News