Brazilian police seized a yacht and other aquatic toys owned by former billionaire Eike Batista, five days after raiding the tycoon’s mansion in Rio de Janeiro. Federal police in Rio de Janeiro said in an e-mailed statement that they apprehended a yacht, three jet skis and a speedboat owned by Batista. Photos showed the confiscated assets included a Batista boat called Spirit of Brazil. The action came after Brazilian federal judge Flavio Roberto de Souza last week ordered the seizure of all financial assets in Brazil, as well as real estate worth as much as 1.5 billion reais ($542 million), belonging to Batista, his sons Thor and Olin, former wife and carnival queen Luma de Oliveira, and lawyer Flavia Sampaio, the mother of his third son. Batista is on trial for alleged insider trading and market manipulation. [Bloomberg]
The Universe Has Good News And Less Good News For Rajat Gupta
The less good news is that a jury found the former McKinsey executive guilty on three counts of securities fraud and one count of conspiracy for passing material non-public information to his friend*, convicted insider trader Raj Rajaratnam. The good news: 1. Rajat could go to jail for twenty years but probably won't ("Gupta faces up to 20 years in prison on each of the fraud charges and up to five years for the conspiracy charge. But his sentence is likely to be significantly lower under federal guidelines.") 2. Sentencing is scheduled for October 18 so he's got the whole summer and then some into a Zen place about going to prison. Also! Plenty of time to do all those things he was too busy for when he was working. This is gonna be his time. Time to taste the fruits and let the juices drip down his chin. The summer of Rajat! Gupta Found Guilty Of Insider Trading [WSJ] *Friend Rajat's ass.
Judge Who Went For A Li'l Join Ride In Accused Insider Trader's Seized Porsche Not Off The Hook Just Yet
Apparently these things are viewed as a bigger deal than Flávio Roberto de Souza previously thought.
Layoffs Watch '15: Credit Suisse Wants You! (To Help It Cut Costs By 3.5 Billion Francs)
This is not so much a request as a requirement you're unlikely to get around, unless anyone is considering chaining themselves to their desks.
Former Madoff Employee Pleads Guilty To *A* Madoff Securities Scam Just Not *The* Madoff Securities Scam
You know what has got to suck? When you decide to start charging stuff that doesn't fall under "business expenses" to your corporate card and engage in a few other amateur hours scams that probably wouldn't have been found out (or, if discovered, not taken to the authorities because your boss had high tolerance for fraud) but then they are because the CEO of your firm had to go and engage in the largest Ponzi scheme on record, which shone an uncomfortable light on company personnel and all of the cheese, popcorn, and salsa of the month clubs you joined (for example). Craig Kugel knows what we're talking about. The son of a longtime trader for convicted Ponzi scheme operator Bernard Madoff pleaded guilty to conspiracy and other criminal charges Tuesday, but denied any involvement in the decades-long fraud. Craig Kugel, the son of David L. Kugel, a former supervisory trader in Madoff's proprietary-trading operation, admitted to filing false forms that claimed people were on the Madoff payroll when they didn't actually work for the firm and to not declaring as income personal expenses charged to the firm's corporate credit card. Those individuals were paid salary and benefits, but weren't actual employees, he said. "I am sorry for my lapses in judgment in committing these federal crimes, but I want to make clear I had nothing to do with the Madoff Ponzi scheme and I was never involved in the Madoff trading operation," Craig Kugel said at a hearing before U.S. District Judge Laura Taylor Swain in Manhattan. Ex-Madoff Employee Pleads Guilty to Conspiracy [WSJ]
New York Times Finds A Weird Way To Kick Steve Cohen When He's Down
As you may have heard, things have not been going tremendously well for Steve Cohen of late. Two days before Thanksgiving, the government went public with its case against a former SAC Capital employee, Mathew Martoma, who it accused of masterminding the largest insider trading scheme ever. Cohen was neither charged nor mentioned by name in the criminal complaint, but he did make an appearance playing the role of "Portfolio Manager A," a part we have previously mentioned one does not want to portray, if it can be avoided. Then on Wednesday, it was disclosed that SAC had received a Wells notice, indicative of the SEC's plan to sue the fund and if that wasn't enough, sources also claimed investigators are considering naming Cohen personally in the suit, to boot. So things are not exactly going his way right now and what he could really use is a break. The government dropping all charges against Martoma and publicly stating it will stay out of the Big Guy's business forever starting right this second seems out of the question but even some small act of kindness would probably help. Allowing him to pass you on 95. Telling him he looks nice today. Asking, "Have you been working out?" Sending him humorous YouTube videos with a sweet note like, "Hang in there, bud. You're in my thoughts..." On the flip side, you know what he doesn't need? Wildly libelous claims that it's going to take a lot more than a "Correction" to forgive.