Peaches Posted October 17, 2009 Report Share Posted October 17, 2009 Feds' insider trading wiretap snares IBM heir apparentHedge fund chatter fingers Big Blue manBy Timothy Prickett Morgan and Cade Metz The heir apparent to IBM CEO Sam Palmisano has been arrested and charged with insider trading, as US authorities cracked down on an alleged $20m scheme involving shares in some of the IT industry's biggest names. The case - which the FBI calls the largest hedge-fund insider trading case in US history - has also seen the arrest of a high-level executive at Intel, the world's largest chip maker. Today, the Federal Bureau of Investigation and the US Attorney's office in Manhattan filed insider trading charges against six people, including Robert Moffat, senior vice president and general manager of IBM's Systems and Technology Group, and Rajiv Goel, director of strategic investments in Intel's treasury department. Moffat had climbed the IBM ladder to the point where he was a prime candidate to succeed Palmisano as CEO. Court papers say that inside information, including tips from IBM's Moffat and Intel's Goel, allowed a hedge fund and two private equity firms to unfairly pocket $20m. One complaint alleges schemes involving shares of Clearwire, Akamai Technologies, PeopleSupport, and Google, while a second complaint alleges similar insider trading in shares of Intel-competitor Advanced Micro Devices, Sun Microsystems, and IBM. More details The Register - http://www.theregist...ng_for_dummies/ Quote Link to post Share on other sites
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