Doctor Who Tipped Off SAC Manager Wasn't Conspicuous About His Wealth Except When He Was Telling Strangers On Planes About All The Fancy Hotels And Limo Rides Insider Trading Afforded Him

As you may have heard, in addition to the salary he was paid by the University of Michigan, Dr. Sidney Gilman made about $100,000/year through his side-gig advising "a wide network of Wall Street traders."  That network included included Mathew Martoma, recently charged with running “the most lucrative insider trading scheme ever,” based on the information he received from Gilman, who made it a habit of leaking highly confidential information to the former SAC Capital employee. While most people that engage in fraud can't help but spend their ill-gotten gains in a flashy way that attracts unwanted attention (expensive cars, private jets, chinchilla fur coats) the Times reports that Sid Gilman's supplementary income "was not readily apparent in his lifestyle in Michigan." For instance, no second home and no bragging to his colleagues about his life on Wall Street. Still, on at least one occasion, the doctor couldn't help but let the underage girl sitting next to him on a flight home know that she was in the presence of a BSD.
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As you may have heard, in addition to the salary he was paid by the University of Michigan, Dr. Sidney Gilman made about $100,000/year through his side-gig advising "a wide network of Wall Street traders." That network included included Mathew Martoma, recently charged with running “the most lucrative insider trading scheme ever,” based on the information he received from Gilman, who made it a habit of leaking highly confidential drug trial data to the former SAC Capital employee. While most people that engage in fraud can't help but spend their ill-gotten gains in a flashy way that attracts unwanted attention (expensive cars, private jets, chinchilla fur coats) the Times reports that Sid Gilman's supplementary income "was not readily apparent in his lifestyle in Michigan." For instance, no second home and no bragging to his colleagues about his life on Wall Street. Still, on at least one occasion, the doctor couldn't help but let his seatmate on a flight home know that she was in the presence of a BSD.

...[Gilman] was willing to share a glimpse of his lifestyle with [a stranger] whom he sat next to on a flight from New York to Michigan a few months ago, telling her how his Alzheimer’s research allowed him to enjoy fine hotels in New York and limousine rides to the airport. “I wouldn’t say he was egotistical because he didn’t come across as obnoxious, but he definitely mentioned the kind of lifestyle that he had,” said [the woman], who had been upgraded to first class.

So many things to love about this. To name a few:

* Did the Times reporters somehow find this person on their own or did she read about Gilman's woes in the paper and take it upon herself to get in touch?

* Most people mean regular town car when they say "limo" and would be mortified to pull up to the airport in an actual stretch limousine. And yet, for some reason, I assume that's what Gilman was referring to and on at least one occasional stuck his head and torso out of the sunroof to take in the sights in style.

* I love that he was all, "I stay in hotels with deluxe mini-bars, gigantic marble tubs, chocolates with turn-down service, THE WORKS." To that end, odds he stuffed his carry-on with the complimentary toiletries and stole at least a couple robes during his various trips? Pretty high, right? And if our instincts are correct about that, odds he gets to keep them as part of his non-prosecution agreement? And that during his meeting with Feds, he waited 'til the last second to be like, "Um, just one more thing I forgot to mention...I have six or seven terry-cloth dressing gowns that accidentally got packed in my bag the last time I was in NYC...does this cover those?"

Quiet Doctor, Lavish Insider: A Parallel Life [NYT]

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Preet Bharara: University Of Michigan Doctor Financially Compensated For Leaking Confidential Drug Trial Data To Former SAC Trader Just An Innocent Pawn In Big Bad Hedge Fund's Game

As you may have heard, earlier today, Mathew Martoma, a former portfolio manager in SAC Capital's CR Intrinsic unit, was charged with allegedly running “the most lucrative insider trading scheme ever," netting $276 million for the fund. He did so based on information that was given to him by Sid Gilman, a University of Michigan neurologist and chair of a "safety-monitoring committee that oversaw a clinical trial by Wyeth LLC and Elan Corp.  into whether the drug bapineuzumab, or bapi, was safe for patients with mild-to-moderate Alzheimer’s disease." Over an 18-month period, Gilman and Martoma met 42 times, in addition to emailing and chatting over the phone. For example:

Things Could Be A LOT Better At SAC Capital Right Now

Back in October, we detailed a list of things that, if you are the hedge fund manager who goes by the name Steven A. Cohen, you really don't want to hear first thing in the morning. They included: “The fleeces are on back order”; “Your ex-wife is in the lobby”; “There’s a photographer here who said he’s been authorized to shoot you wearing a king’s robe and crown for a set of playing cards”; “You’ve been outmaneuvered for the Toledo Mud Hens. But I hear the Binghamton Mets may be available.” Today we must update that list to include another thing, perhaps THE thing,* that people delivering news to Cohen don't want to relay. Paraphrasing but any variants on: "Mr. Cohen, we've received a Wells notice and by the way, they're considering naming you personally."