High frequency trading.jpgHeads of high frequency trading desks have a lot of top secret, propriety information on their mini super-computers at work. Statistical arbitrage models sit there as the potential door to lightening quick profits. But when Mikhail Malyshev, the former head of Citadel’s high-frequency trading group, started dropping napalm on his hard drive before taking off for his new firm, Teza Trading, it wasn’t to destroy any evidence of stolen files. No, Malyshev was trying to prevent people from making a far more terrifying discovery about another high frequency pursuit of his.

During a hearing yesterday, Malyshev admitted that he had used scrubbing software on his computer to irretrievably delete some files. But he told Citadel lawyer Brian Sieve that “it was not my intent to destroy evidence related to this case.” Malyshev said he was simply trying to remove any trace of adult videos he didn’t want discovered, despite the fact that his lawyers had reached an evidence-preservation accord with the judge earlier that day

Ex-Citadel Exec. Sued By Hedge Fund Admits Destroying Computer Files [FINalternatives]

69 comments (hidden to protect delicate sensibilities)
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Comments (69)

  1. Posted by guest | October 2, 2009 at 9:48 AM

    Nice one, Greg.
    A picture of a babe might have kicked this up a notch, though.
    Keep up the good work.

  2. Posted by guest | October 2, 2009 at 9:50 AM

    Traders love tentacle rape videos. Its a fact. Look it up.
    samwell

  3. Posted by guest | October 2, 2009 at 9:53 AM

    CNBC was confused by the big magnet I schlepped into the office on my last day, but “Benji’s Big Day Downtown” was too risky not to tackle (in more ways than one – :) – natch).
    – Dennis Heel

  4. Posted by guest | October 2, 2009 at 9:54 AM

    not falling for that one.
    -kg

  5. Posted by guest | October 2, 2009 at 9:57 AM

    Is porn better on a super-computer?

  6. Posted by guest | October 2, 2009 at 9:59 AM

    Malyshev,
    You retard, if you’re reading this, please return my copy of “She Goes Cuckoo for Cocoa Studs” DVD.
    –Greg’s Mom

  7. Posted by adam sender | October 2, 2009 at 10:00 AM

    now do you guys get why I need 53 screens and lube on my desk?
    http://dealbreaker.com/2007/12/a-serious-question.php

  8. Posted by Olive Blakok | October 2, 2009 at 10:01 AM

    Greg-
    Don’t come in come in my ovaltine and tell me its a money shot.
    Grandma Michaels

  9. Posted by guest | October 2, 2009 at 10:01 AM

    Greg, will you you gum me where the pampers is?
    Grandma “Slanket” Michaels

  10. Posted by guest | October 2, 2009 at 10:02 AM

    Greg –
    Your writing obscene, but not in a good porn way. Wapner. Try and find another calling. Wapner.
    Rain Man

  11. Posted by guest | October 2, 2009 at 10:04 AM

    What what?

  12. Posted by one | October 2, 2009 at 10:10 AM

    Don’t worry Mikhail, they’ll never catch you.
    – Roman Polanski

  13. Posted by guest | October 2, 2009 at 10:13 AM

    Greg –
    I am going to use your mouth as a jizz cup.
    CG

  14. Posted by guest | October 2, 2009 at 10:14 AM

    Is “slore” a Ghost-busters reference?

  15. Posted by guest | October 2, 2009 at 10:15 AM

    High frequency ‘bating

  16. Posted by guest | October 2, 2009 at 10:16 AM

    what happened to that midget who runs a hedge fund with million monitors?

  17. Posted by guest | October 2, 2009 at 10:17 AM

    it moved.
    a lot.

  18. Posted by guest | October 2, 2009 at 10:19 AM

    I bet his keyboard resembled a painter’s radio.
    -Shooter McGavin

  19. Posted by guest | October 2, 2009 at 10:23 AM

    @15 I’d have gone with High Frequency pump and dump.

  20. Posted by guest | October 2, 2009 at 10:24 AM

    Dis is why I always take my personal laptop to work wit’ me.
    -CG

  21. Posted by guest | October 2, 2009 at 10:25 AM

    @16 you mean the one who left comment 7?

  22. Posted by guest | October 2, 2009 at 10:28 AM

    Goddammit, Greg. Lightening is making something less dark. Lightning is what I am going to call down from the heavens to kill you in your sleep.
    -JM

  23. Posted by guest | October 2, 2009 at 10:35 AM

    @22 thats all wrong man. It’s supposed to be mildly annoying, not fatal or egregious. Like this.
    Greg, I am going to sneak into DB HQ and take a stick of RAM out of your computer, making it run ridiculously slow.

  24. Posted by guest | October 2, 2009 at 10:44 AM

    Greg,
    I’m going to flood your inbox with anti-Obama spam, and forward said emails to 300+ recipients without removing your full email address.
    -Eccentric Uncle Larry Michaels

  25. Posted by guest | October 2, 2009 at 11:01 AM

    @23 Fine, but I still prefer just fixing the problem.
    Goddammit, Greg. Lightening is making something less dark. Lightning is what I am going to call down from the heavens to fry your DVR 45 minutes into this week’s episode of Grey’s Anatomy. You will want to know how it ended but you will be too ashamed to ask anyone.

  26. Posted by guest | October 2, 2009 at 11:04 AM

    This was a good post. Why the hate?

  27. Posted by guest | October 2, 2009 at 11:12 AM

    @26
    23 here. You’re actually right. I just don’t like to see Jeff-Macke-doing-annoying-little-things-to-Greg jokes fall flat on their face.

  28. Posted by Investorcluzo | October 2, 2009 at 11:19 AM

    @26 – agreed. this was a half decent post, exceptionsl by GM standards. but it’s not hate, it’s love. I mean, there are some really funny posts here. btw, bess, we know you’re feeding him lines…

  29. Posted by Eliot S. | October 2, 2009 at 11:25 AM

    As a former prosecutor, I can tell you these creeps are always hiding something. Book ‘em and throw away the key.

  30. Posted by CoveredLong | October 2, 2009 at 11:31 AM

    @25 – Nicely done…you are the Greg of commenters…sucky at first, but starting to redeem yourself. Keep on keeping on…

  31. Posted by guest | October 2, 2009 at 11:38 AM

    i actually chuckled out loud when i read your first paragraph. well done greg. and on a friday too. extra points.

  32. Posted by guest | October 2, 2009 at 12:37 PM

    Did someone say high frequency porn browsing? The SEC is already expert in this matter.
    “The investigation revealed that while using his SEC computer during 17 working days, the employee received approximately 1,880 access denials for Internet websites classified by the SEC’s Internet filter as pornography.”
    http://www.sec-oig.gov/Reports/Semiannual/2009/semiapr09.pdf

  33. Posted by guest | October 2, 2009 at 3:59 PM

    not bad for gaming the system…
    http://online.wsj.com/article/SB125444025346057763.html
    High-Frequency Gain: Citadel Unit’s $1 Billion

  34. Posted by Edgar Perez | October 26, 2010 at 7:58 AM

    Golden Networking is organizing High-Frequency Trading Experts Workshop 2010 (http://www.HFTExpertsWorkshop.com), “Practical Implementation of High-Frequency Trading Strategies”, 2-day workshops in Hong Kong, November 22 & 23 and New York, December 9 & 10. It has been recommended for executives in finance and investments who work at Investment Banks, Hedge Funds, Pension Funds, Broker Dealers, Consultancy Groups, Prime Brokers, Solution Providers and Exchanges and wish to gain a thorough understanding and practical knowledge of high-frequency trading.

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