A federal grand jury indicted SAC Capital Advisors and three affiliated companies on four charges of securities fraud and one of wire fraud in connection with insider trading. The indictment said SAC Capital "encouraged the widespread solicitation and use of illegal inside information." U.S. Attorney Preet Bharara said the company's "indifference" to unlawful conduct led to "insider trading that was substantial, pervasive and on a scale without known precedent in the hedge fund industry." Fund founder and CEO Steven Cohen was not named in the indictment.

Related Summaries