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SAC Capital Throws Itself Upon The Mercy Of The Court

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They've changed their name. They've given back the money. They've cried it out atop the fleeces. What other lessons could possibly be learned? Don't make Steve Cohen walk up and down Park Avenue wearing a sandwich board that reads "I employ insider traders" on the front and "LOTS of 'em" on the back.1

SAC Capital Advisors LP urged a federal judge to approve its record $1.8 billion insider-trading settlement with the government, saying the firm is “deeply remorseful” for the illegal acts of its employees. SAC lawyer Martin Klotz asked U.S. District Judge Laura Taylor Swain in a two-page letter yesterday to sign off on the agreement, which also calls for the firm to close its investment advisory business. A sentencing hearing before Swain is scheduled for April 10 in Manhattan. “The defendants are deeply remorseful for the misconduct of each of the individuals who broke the law while employed by them,” Klotz wrote. “Even one person crossing the line into illegal behavior is unacceptable. The defendants are chastened by this experience, but are determined to learn from it.”

‘Remorseful’ SAC Urges Approval of U.S. Insider Trading Pact [Bloomberg]

1. But now that I think of it, actual hypothetical scenario for you: What if the government went to Cohen and said, "Here it is. No fine, you can manage outside money, and we'll never bother you again, but for an entire week you have to parade through Midtown with the aforementioned sandwich board, as a deterrent, a la this. Does he do it? Remember, Steve Cohen is a proud man.↩