A US federal grand jury has indicted Steven Cohen’s hedge fund SAC Capital Advisors just days after the US Securities and Exchange Commission filed civil charges against Cohen himself.
SAC is charged with wire fraud as well as four counts of securities fraud. According to the indictment, the hedge fund obtained and traded on inside information to boost returns and fees from around 1999 to 2010. The scheme allegedly involved a number of portfolio managers, research analysts and over 20 publicly traded companies.
The Wall Street Journal reports that while criminal charges against the firm would deal blow to Cohen as founder, prosecutors didn't accuse him personally of wrongdoing. No major financial firm has survived a criminal indictment.
Here's the text of the SAC criminal suit: