Daily Kos: Corrupt, Cruel and Abusive

by Gegner

Fri Oct 06, 2006 at 09:40:13 PM PDT

Hard to beat David Sirota's awesome smackdown of Friedman today so I won't even try. That said, I came upon this item in the same edition of the NY times.

Pequot Says S.E.C. Won't Take Action
By GRETCHEN MORGENSON and WALT BOGDANICH Published: October 6, 2006

The staff of the Securities and Exchange Commission has notified Pequot Capital Management, a prominent hedge fund run by Arthur J. Samberg, that it will not recommend an enforcement action against the firm or its employees relating to an insider trading investigation, according to a letter sent yesterday by the fund to its clients. [snip]

The $7 billion hedge fund and its founder, Mr. Samberg, came under regulatory scrutiny in late 2004, when Gary J. Aguirre, a staff lawyer at the S.E.C., began investigating a number of profitable trades made by Pequot in advance of mergers or other market-moving news. The Pequot trades were flagged by stock exchange surveillance teams and forwarded to the commission.