March 29 Michael Steinberg, a portfolio manager
at Steve Cohen's $15 billion SAC Capital Advisors, was arrested
by the Federal Bureau of Investigation at his home in New York
City early Friday morning in connection with a long-running
insider trading investigation of the hedge fund, a FBI spokesman
Federal prosecutors had been considering indicting Steinberg
on charges that he traded on inside information on Dell Inc
stock, sources close to the matter said on Thursday.
Steinberg's lawyer Barry Berke issued a statement to Reuters
saying Steinberg had done "absolutely nothing wrong."
"At all times, his trading decisions were based on detailed
analysis as well as information that he understood had been
properly obtained through the types of channels that
institutional investors rely upon on a daily basis."
Steinberg, 40, who was suspended from his post in October
2012, has been moving among several hotels in New York City in
recent weeks, according to Reuters sources, as he wanted to
avoid being arrested at his Upper East Side home where he lives
with his wife and two children.
An SAC Capital spokesman had no immediate comment on the
Earlier this month, SAC Capital agreed to pay a $14 million
settlement for improper trading in Dell in which a former trader
who reported to Steinberg had been involved.