A federal appeals court threw out the guilty verdicts of two hedge fund managers central to Manhattan U.S. Attorney Preet Bharara’s investigation of insider trading, ruling jury instructions tainted their verdicts and imperiling other cases brought in his multiyear probe.
Former Diamondback Capital Management LLC fund manager Todd Newman was sentenced to 4 1/2 years in prison for his role in an insider-trading scheme that used tips from technology company insiders to earn $72m.
Marathon bombing suspect Dzhokhar Tsarnaev was moved from a Boston hospital to the federal medical prison in Massachusetts where former hedge fund manager Raj Rajaratnam is serving an 11-year sentence for insider trading.
Level Global Investors co-founder Anthony Chiasson and former Diamondback Capital Management portfolio manager Todd Newman were convicted of securities fraud and conspiracy for an insider-trading scheme that reaped more than $72m.
Diamondback Capital Management, among the hedge funds that was raided by the FBI about two years ago as part of the U.S. investigation of insider trading on Wall Street, is liquidating after clients pulled money.
Arrests tied to the insider-trading case involving Galleon Group LLC made obtaining illegal tips harder and often less specific, an analyst for former Diamondback Capital Management LLC fund manager Todd Newman testified.
Level Global co-founder Anthony Chiasson and Todd Newman, a former fund manager for Diamondback Capital Management LLC, used a 'corrupt chain' of insiders at public companies to make more than $70m for their funds, a prosecutor told a jury at the start of the men’s trial.