July 26, 2013

SAC Capital Advisors Pleads Not Guilty to Fraud

Steve Cohen's hedge fund firm enters plea in Manhattan federal court following indictment for wire and securities fraud.

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NEW YORK (AP) — A not guilty plea has been entered on behalf of a large hedge fund charged in a criminal indictment with letting insider trading occur over a 10-year period.

The plea was entered Friday morning in Manhattan federal court by Peter Nussbaum, longtime general counsel for SAC Capital Advisors. It happened a day after the company was charged with wire and securities fraud.

A prosecutor says the evidence is "voluminous."

Stamford, Conn.-based SAC said in a statement after the charges were announced that it will continue normal operations.

It said it "has never encouraged, promoted or tolerated insider trading and takes its compliance and management obligations seriously."

The company is owned by embattled billionaire Steven A. Cohen. He has not been charged.

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Read more about the charges brought against SAC Capital Advisors.

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