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Former FBI special agent Mark Rossini breaks down the details of the most lucrative insider-trading case ever.
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Sick that could be the largest insider trading case -- history.
The Department of Justice charging former hedge fund portfolio manager Matthew Mark Toma with conspiracy to commit securities fraud.
The Fed alleges that 276 million dollar scheme was carried out from 20162008.
After -- Tobin met a doctor.
Involved in alzheimer's disease drug trial and obtain confidential information.
Related to the final results of the drug trial -- that -- -- -- worked for a CR intrinsic investors out of Stamford Connecticut.
During the alleged misconduct and walked away with nine million dollars so that insider trading scheme unveiled by federal prosecutors today involves a former SAC capital money manager what does that mean for that high profile hedge fun and it's chief Stephen Collins.
-- after it has the latest with a special guest as well Charlie's.
-- Do you former FBI agent -- not a stranger you're not a jump in surgery but we should point out that this is interest in this case because.
This is not just some subsidiary of SEC capital this is but this is SEC central and diesel diesel is you know was of major money manager there.
And I really that.
It's -- in the money is astronomical talk about the large order right -- billion dollar and never heard that before in my life right.
And we're talking about someone with direct ties to Steve -- Steve Cohen.
Isn't named by name but it's pretty easy to find out what who that they are talking about him from reading the charges explain a little bit.
OK going over the complaint and is probably the most -- complaints -- ever read the government the FBI agent are to be commended for their work.
The peace state can be correlated emails IM it's phone calls -- longer and with public disclosure documents by SEC capital.
Put orders trade or -- -- -- -- -- -- -- all the correlation they've made their case to show a conversation with the cooperating witness -- Profound policy correctly with more -- led to a purchase by SEC capital -- resale.
They don't mention SEC capital they don't mention mr.
Cohen what they do say.
Is that mr.
-- -- had a conversation with hedge fund.
Owner had a conversation with his boss.
And also go -- go to one hedge fund owner at SEC capital.
They haven't named it but you when I can both confirmed that's what it is right more portly the government's very very -- -- in this to put in the complaint.
-- non disclosure part.
Of -- -- -- tome is employee.
-- let's say his his agreement.
Fact no insider trading efficient can be used -- be -- the complaint is disclosure non disclosure statement part of the expert networking from the to work for.
What -- the government -- this is a great psychological game.
They're putting all the weight to bear on -- home up to do what to get him flip -- know.
But I was boss mr.
-- SEC Kathy -- that's inference but it's hard not to -- okay but I'm not gonna condemn anybody right now because -- -- there but you can infer what the government is doing -- your mark -- -- -- -- -- -- -- Wait a second you putting this all on me I'm the only one you're mentioning I'm the only one -- -- -- this by myself.
None -- I don't know -- we should point out that one of the proms the government has had they been good looking XT calling now for writers I I know this for a fact of spoke when a lot of government investigators.
-- what a problem they have is any kind of steeped himself out of the mix of the stuff that goes around there's lots of interest and stuff that are.
Of the people around there have been charged in this ongoing insider trading case.
He takes himself out this time we know.
Whether -- illegal or not -- we know that he's involved somehow with this guy more -- right if I have the -- I am eating my words from last summer's on here with you we talked about Michael Steinberg -- to -- on -- -- -- -- we thought that was the biggest -- thought it was.
This is bigger write -- SEC to money -- exactly correct but now what you're having its direct link between someone charged with a crime having conversation with someone who.
Should be under article despair that a correct or indicted conspirator but they're leaving that person's name out.
Why.
Because -- trying to get -- home with a flip that's the issue here that's what they're trying to do with it premiere more -- I'm not gonna take the full.
Anybody busy first 250 million dollars this is like a huge amount of money right you know on dubious about -- -- -- it's the worst crime in -- world.
Right I'd say disagreed -- that I just -- that 250 million dollars it.
This -- looking at how many years in jail.
Fifth 1015.
What are patrol indicate it's -- there's a -- of the number on Raj was like.
It was like forty -- and and he's awake for a -- eleven.
That's right.
This I sold in twenty years in jail so what do you do to your march -- now what did you crystal Michael Steinberg what he's doing because you calling you know they put a lot of lawyers that look at this stuff say is that okay they might have a hard time -- Steve Cohen himself who by the way -- -- eased in the past tonight he's done anything wrong we should point out.
We've asked for comment from them they have no immediate comment from SEC capital -- but they're having a hard time you know -- you know finding stuff on him directly.
Finding stuff on people around them a lot more low but -- -- -- what what happened let me ask a question that's okay -- taken out threats of possible -- just look at to show that this is an an enterprise SEC capital.
That just doesn't play by the rules and can charge the firm for being.
Criminal organization they try to go for Rico's what you're saying -- I don't know that.
Possibly could be -- that would that would blow everything a way to we've learned -- should also point out which appointed -- viewer.
Some of this is supposition right we that we don't know Steve -- did anything wrong I don't know I don't he's been investigated that is we believe that more Toma.
These the guy that could that he could bring -- -- if I was more Toma I would serve my own best interest and now coming to cooperate.
Telegraphed I think we're gonna leave it there can expect you.
