SAC Capital’s Steinberg Gets Insider Trading Charges Dropped
- U.S. abandons prosecution after court narrows insider trading
- Six who pleaded guilty also cleared in insider prosecution
Michael Steinberg, a former fund manager with SAC Capital Advisors LP, arrives at federal court for a sentencing hearing in New York, on May 16, 2014.
Photographer: Peter Foley/BloombergThe U.S. dropped insider-trading charges against Michael Steinberg, a former fund manager at SAC Capital Advisors LP who was convicted by a federal jury, in the latest fallout from a major appeals court ruling that made such prosecutions more difficult.
The government also abandoned charges against six people who pleaded guilty and cooperated with prosecutors in the case, U.S. Attorney Preet Bharara said in a statement Thursday. The decision comes after the U.S. Supreme Court declined to hear the government’s challenge of a decision overturning the convictions of fund managers Todd Newman and Anthony Chiasson in a related case.