Schottenfeld Insider Trading Cooperator Gets House Arrest

Law360, New York (April 18, 2012, 8:11 PM EDT) -- A former Schottenfeld Group LLC trader involved in a wide-ranging Wall Street insider trading scheme was sentenced to six months' house arrest Wednesday, dodging prison because he cooperated with prosecutors against his co-conspirators.

Gautham Shankar, 38, nicknamed “Shakes” by his ex-colleagues for his nervous demeanor, helped crack a ring of insider traders at Schottenfeld and opened the door to a series of successful criminal cases brought by New York federal prosecutors.

Shankar pled guilty in October 2009 to securities fraud for trading using illicit tips on...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.