Summary Box: Pequot Capital, founder Samberg paying $28M to settle SEC insider-trading charges
By APFriday, May 28, 2010
Summary Box: Pequot pays $28M to settle case
SETTLEMENT OF A LONG-RUNNING CASE: The investment firm Pequot Capital Management and its founder and chairman, Arthur Samberg, have agreed to pay a total $28 million to settle regulators’ charges of insider trading in Microsoft shares.
ALLEGED TIPSTER: The Securities and Exchange Commission also alleges that a former Microsoft employee who went to work for Pequot provided the confidential information on Microsoft’s earnings to Samberg in April 2001.
CONTROVERSY FOR SEC: The SEC closed an earlier investigation of Pequot in December 2006, then reopened the probe in January 2009. Its handling of the case prompted scrutiny in Congress and by the SEC inspector general.
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