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Fei Yan pleaded guilty before U.S. District Judge Katherine Forrest in Manhattan and is scheduled to be sentenced by Forrest on March 2, prosecutors said. Yan, a Chinese national, was arrested in Massachusetts in July. Federal prosecutors accused him of purchasing options to buy stock of Stillwater Mining, based on insider information about South Africa’s Sibanye Gold Ltd's planned $2.2 billion acquisition of Stillwater.
A research scientist at Massachusetts Institute of Technology was arrested on Wednesday on charges that he engaged in insider trading based on information he obtained from his wife, a corporate lawyer working on a deal involving a mining company. Fei Yan, 31, was arrested in Massachusetts after federal prosecutors in Manhattan accused him of trading last year on inside information about South Africa's Sibanye Gold Ltd planned $2.2 billion acquisition of Stillwater Mining.