Hedge-fund group SAC Capital Advisors LP and federal prosecutors have agreed in principle on a penalty exceeding $1 billion in a potential criminal settlement that would be the largest ever for an insider-trading case, according to people familiar with the matter. The payment by SAC, run by star manager Steven A. Cohen, is expected to be roughly $1.2 billion to $1.4 billion, according to these people. The penalty means SAC would pay the U.S. government a total of nearly $2 billion, including a $616 million penalty the firm agreed to in a civil insider-trading settlement with the Securities and Exchange Commission in March...Prosecutors are working with the SEC in negotiations with SAC over how long the firm and Mr. Cohen would potentially refrain from managing outside capital. Mr. Cohen has agreed with prosecutors to sit out for a period of time, according to the people familiar with the matter. [WSJ]
Fire Up The Super Duper Weenie Truck: Steve Cohen's Got A Party To Plan
It's the happiest of holidays up in Stamford, CT.