NEW YORK, April 13 Chip Skowron, a former
manager at the hedge fund FrontPoint Partners LLC, is being
charged with securities fraud and obstruction of justice in an
insider trading case focused on expert network firms, a person
familiar with the matter said on Wednesday.
Yves Benhamou, a French doctor, has also pleaded guilty to
illegally providing tips to Skowron and to obstruction of
justice, the person said.
The person was not authorized to speak because Skowron has
not been named by public authorities in connection with the
case, and Benhamou's plea has not been made public.
Skowron was arrested earlier Wednesday and is expected to
appear later in the day before a U.S. magistrate in Manhattan,
federal law enforcement officials said.
The U.S. Attorney's office in Manhattan is holding a press
conference later Wednesday to announce insider trading charges
against an unnamed hedge fund portfolio manager, and
obstruction of justice charges against the manager and an
unnamed expert consultant.
(Reporting by Matthew Goldstein and Jonathan Stempel in New
York, editing by Gerald E. McCormick)