SAC Capital Advisors urged a federal judge to approve its record $1.8bn insider-trading settlement with the government, saying the firm is 'deeply remorseful' for the illegal acts of its employees.
Bloomberg reports that SAC lawyer Martin Klotz asked U.S. District Judge Laura Taylor Swain in a two-page letter yesterday to sign off on the agreement, which also calls for the firm to close its investment advisory business. A sentencing hearing before Swain is scheduled for April 10 in Manhattan.
'The defendants are deeply remorseful for the misconduct of each of the individuals who broke the law while employed by them', Klotz wrote. 'Even one person crossing the line into illegal behavior is unacceptable. The defendants are chastened by this experience, but are determined to learn from it'.
Four SAC units were indicted last year, accused of reaping hundreds of millions of dollars in illegal profit through insider trades by employees dating to 1999. Steven A. Cohen, 57, the firm’s founder, faces an administrative action by the Securities and Exchange Commission alleging he failed to supervise the hedge fund’s activities. Eight current or former SAC employees have been convicted of insider trading charges.
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