SEC Commissioners May Not Agree On What To Order For Lunch, But They're Unanimous Re: Wanting Steve Cohen's Ass On A Cake Stand For Dessert

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In case that was unclear.

U.S. securities regulators were united in their decision to file civil charges against billionaire hedge fund owner Steven A. Cohen last week, in a high-stakes case that could result in Cohen being barred from the industry, people familiar with the case told Reuters...In a last-minute 9 a.m. meeting on Friday, with a five-year statute of limitations deadline approaching, enforcement lawyers presented SEC commissioners with a lengthy memo urging them to vote to charge Cohen with failing to supervise former SAC Capital Advisors portfolio manager Mathew Martoma and SAC executive Michael Steinberg, sources said. Both Martoma and Steinberg are facing criminal and civil insider trading charges.

SEC Chair Mary Jo White, an independent, and Democratic SEC Commissioners Elisse Walter and Luis Aguilar attended the meeting and subsequently voted in favor of filing charges, these people said. SEC Republican Commissioner Troy Paredes was on a plane en route to Texas at the time, but he cast a yes vote after he landed, according to one of the sources. The SEC's other Republican commissioner, Daniel Gallagher, was out of town last week and did not participate in any of the SEC's closed door enforcement meetings.

[Reuters]

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The Feds Are Struggling To Understand Why Mathew Martoma Won't Just Turn On Steve Cohen Already, God Damn It

"We have been remarkably successful in convincing persons to cooperate with the government, and provide evidence to us, and in court of law," SEC director of enforcement Robert Khuzami said during a press conference the day the government went public with its charges of insider trading against former SAC Capital employee Mathew Martoma. To the untrained ear, Khuzami probably appeared to be speaking to no one in particular, just sending a general message to any would-be criminals out there that once the government got to their co-conspirators, it'd be all over. No one wants to do time, and everybody flips. To those who've been following Operations Perfect Hedge, though, and have watched the Feds' relentless pursuit of Steven A. Cohen,  it was obvious they were sending a clear message to the Big Guy: "We got ya boy, and ya goin' down." And since its track record of getting people to turn on their colleagues and in some cases, their best friends (see: Noah Freeman/Donald Longueuil, and these guys, and these guys, and this guy) really has been "remarkably successful," and since Martoma has a wife and two young kids and his whole life ahead of him, Khuzami and Co. probably assumed they had this one in the bag. But not so.