Ex-Prudential Broker Beats Market Timing Fraud Claims

Law360, New York (December 16, 2011, 4:19 PM EST) -- A jury on Wednesday cleared former Prudential Securities Inc. broker Frederick O'Meally, dubbed the “poster child” of market timing, of U.S. Securities and Exchange Commission fraud claims related to the controversial practice.

A former senior vice president at Prudential who was among its top 10 brokers, O'Meally allegedly market-timed on behalf of his hedge fund clients even though mutual funds he traded in demanded he stop.

A federal jury in New York rejected the SEC's fraud claims, but found O'Meally liable for negligence with respect to...
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