Hedge Fund Netted $4M Off Insider Trading, SEC Says

Law360, New York (September 1, 2011, 8:12 PM EDT) -- The U.S. Securities and Exchange Commission on Wednesday accused Clay Capital Management LLC and its manager of profiting $3.9 million based off inside information on three software and technology companies.

The suit, filed in New Jersey federal court, accuses Clay's investment manager James F. Turner II of making trades after obtaining insider information from employees at the technology companies, then tipping off friends and neighbors about which stocks to buy.

"The inside information that defendants illegally passed to one another and traded on concerned market moving...
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