Former SAC Capital Advisors portfolio manager Mathew Martoma, convicted of orchestrating the most lucrative insider trading scheme in U.S. history, should spend more than eight years in prison, prosecutors told the judge who will sentence him next month.
Bloomberg News reports that Martoma, 40, 'cultivated and corrupted' two doctors to obtain inside information on clinical tests of a drug to treat Alzheimer’s disease, prosecutors in the office of Manhattan U.S. Attorney Preet Bharara said yesterday in court papers. Martoma made $275m for SAC and a $9.3m bonus for himself, they said.
Martoma was convicted in February of using illegal tips from the doctors, who were overseeing tests on the drug, to trade in shares of Elan Corp. and Wyeth LLC. Before trial, Martoma rejected the government’s offer of leniency in exchange for his help in the investigation of SAC Capital founder Steven A. Cohen.
Cohen hasn’t been charged with a crime.
To access the complete Bloomberg News article hit the link below: