SAC Capital, US to announce $1.2 bln settlement on Monday - media

Reuters

Nov 4 (Reuters) - SAC Capital Advisors, Steven A. Cohen'smultibillion-dollar hedge fund, and U.S. prosecutors areexpected to announce on Monday a $1.2 billion settlement overcriminal charges related to insider trading, media reports said.

Reuters reported last month that the deal, which will likelyinvolve some admission of guilt along with a penalty of morethan $1 billion, was likely to be announced within days.

The settlement does not resolve a separate civil lawsuitthat the Securities and Exchange Commission (SEC) broughtagainst Cohen in July, accusing him of failing to supervise hisemployees, the New York Times said late on Sunday. ()

Six former SAC traders have pleaded guilty to insidertrading crimes.

Cohen is still negotiating with the SEC to resolve aseparate civil lawsuit that is seeking to ban him from thesecurities industry for allegedly ignoring signs of insidertrading at his firm, the Wall Street Journal said. ()

SAC Capital and U.S. Attorney Preet Bharara's office couldnot immediately be reached for comment by Reuters outside ofregular U.S. business hours.

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