Michael Steinberg

Ex-SAC Capital PM Mike Steinberg seemed pretty surprised when he was found guilty of insider trading.

Ms. Williams recalled the day when Michael S. Steinberg, a portfolio manager at the hedge fund SAC Capital Advisors, was brought before a Manhattan judge to be read the insider trading charges against him. The police escorted him, in handcuffs, into the Lower Manhattan courthouse through the main elevators rather than the usual back way leading into the courtroom. When Mr. Steinberg emerged from the main elevators, there was a look of utter shock on his face. “Being caught is so out of their wildest dreams,” she said.

Danielle Chiesi was a vision in pink. Read more »

As of Monday morning, SAC trader Michael Steinberg was innocent against charges of insider trading in the eyes of a juror named Demethress Gordon. But on Monday evening, Gordon “attended a screenwriting class that happened to focus on the subtext of characters’ actions.” And then this happened: Read more »

For the moment, however, Cohen is preparing for an end-of-year boat trip, said someone familiar with the matter, and is ending 2013 with an impressive market performance of more than 16 percent returns, according to someone familiar with the figures, despite the legal maelstrom. He was in his office Wednesday, watching Federal Reserve Chairman Ben Bernanke on CNBC, when Steinberg’s verdict was returned. “Guilty,” Cohen muttered in the midst of Bernanke’s televised press conference, a pronouncement that was picked up on SAC’s internal intercom system for traders who hadn’t yet learned the outcome to hear. It was an eerie experience, said someone who was there. [CNBC]

“The government is still hoping for two of the main people they’ve gone after, Mathew Martoma and Mike Steinberg, that they turn on Steve Cohen. The big thing that they want is for…these guys to get convicted, face a long prison term, and when they’re thinking of that prison term, they turn on Cohen…the rub here is that the Steinberg case is not going that well for the government. The government would concede that…it’s not the lay up they want. If you’re going to surmise anything from what I tell you, it’s that Steve Cohen is still a target. That’s not a surmise, he is a target.” [FBN]

Whether your destination is a minimum-security white-collar resort or federal pound-me-in-the-ass prison, you are going to need to get used to life without dwarf-tossing or three-ways with underage girls or taser games and $15,000 umbrella stands. This Goldman Sachs alum can help. Read more »

Michael Steinberg was furious after receiving an email in October 2010 from a research consultant he had hired, according to the lawyer for the SAC Capital Advisors LP portfolio manager. In the email, the consultant told his clients that the Federal Bureau of Investigation had contacted him about insider trading. Mr. Steinberg called the consultant and made him cry, according to the lawyer, Barry Berke. Mr. Steinberg was irate about the possibility that the consultant, John Kinnucan, had been feeding him illegal inside tips, Mr. Berke said. “[Mr. Steinberg said] ‘is this inside information you’re giving me?’” Mr. Berke told U.S. District Judge Richard Sullivan on Monday. “And [Mr. Kinnucan] is like ‘no, no, I swear, Mike, it’s not.’”…The content of Mr. Steinberg’s conversation with Mr. Kinnucan came out in another conversation that was recorded at the behest of the FBI. In that one, former SAC analyst Jon Horvath told ex-Level Global Investors LP analyst Spyridon “Sam” Adondakis that his boss, Mr. Steinberg, had ripped into Mr. Kinnucan after receiving the email. Unknown to Mr Horvath at the time, Mr. Adondakis was cooperating with the FBI, according to prosecutors. [WSJ]

Earlier in the day, before Mr. Berke began his cross-examination, Mr. Horvath testified that after Diamondback and two other hedge funds were raided by federal authorities in fall 2010, Mr. Steinberg coached him about how to talk to the Federal Bureau of Investigation if approached by any agents. Mr. Horvath said his former boss told him if the F.B.I. asks about the kind of information Mr. Tortora provided on Dell, just say it was “O.K.” Mr. Horvath said Mr. Steinberg flew to a conference he was attending in Arizona to personally deliver that message. “He just walked straight up to me,” Mr. Horvath said, adding that his then boss didn’t even say hello before bringing up the F.B.I. [Dealbook]