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'SAC Capital may be criminally charged'

SAC oversees $15 bn, about 60% of which is money from Cohen and employees

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Bloomberg
Last Updated : Jul 24 2013 | 11:43 PM IST
Advisors LP may be charged by the US as soon as this week in a criminal insider trading investigation, while no charges are planned against founder Steve Cohen, the Wall Street Journal reported, citing unidentified people familiar with the matter.

A last-minute settlement that would avert the charges is unlikely, the newspaper said. SAC said in May that it was no longer cooperating unconditionally with the government.

Cohen last week was accused in an administrative action by the US Securities and Exchange Commission of failing to supervise two SAC portfolio managers facing criminal insider trading charges.

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If its proceedings are successful, the SEC could force Cohen, a billionaire who boasts one of the best long-term track records in history, out of the hedge-fund business even though the agency hasn't accused him of personally trading on inside information.

SAC oversees $15 billion, about 60 per cent of which is money from Cohen and employees. Cohen hasn't been charged criminally.

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First Published: Jul 24 2013 | 11:43 PM IST

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