Another sharp compliance reminder on insider trading from the Justice Department and the Securities and Exchange Commission: It’s not only illegal for employees to sell confidential information about their companies to traders, it’s also equally illegal to buy it and trade on it.
The U.S. Attorney for the Southern District of New York, the New York Office of the Federal Bureau of Investigation and the SEC unveiled new charges in an insider-trading scheme they say netted more than $30 million, this time against a hedge fund and four portfolio managers and analysts accused of trading on the confidential information they got from technology company employees moonlighting as expert network consultants.
