Level Global Co-founder Anthony Chiasson has turned himself into the FBI in the midst of a mounting investigation on insider trading, according to the New York Times. Chiasson was not home when the FBI attempted to arrest him early this morning at his Upper East Side residence.
Chiasson’s name has been connected to allegations of insider trading and there were talks of his imminent arrest as an on-going FBI investigation into insider trading unravelled, according to FINAlternatives. Chiasson and fellow Level co-founder David Ganek closed the hedge fund last year after the FBI investigation picked up speed in late 2010 and the name of their firm was publicized.
The investigation concerns Level’s use of Primary Global Research LLC, an “expert network” service that connected employees of public companies to buy-side analysts to reveal inside information, the Wall Street Journal reported.
But before Chiasson crashed and burned within Level, he was a high-flying financier that avoided the spotlight. Between the two Level co-founders, Chiasson was seen as the more reticent, media-shy one compared to Ganek, who embraced New York society life and was known as an avid art collector. At Level, Ganek was the seen as the face of the firm, while Chiasson was the head of research, according to DealBook.
Chiasson got his start in hedge funds at Steve Cohen’s SAC Capital in 1999, where he was a technology analyst, Bloomberg reported last March. There, he met Ganek, who was a rising star trader. The two left SAC in 2003 to start Level Global, and the hedge fund managed up to $3 billion in assets before shuttering its doors. Before entering the buy-side, Chiasson worked briefly at Salomon Brothers and Credit Suisse.
Chiasson’s mother, Lucille, described him to Bloomberg in March last year:
“He’s low-key, under-the-radar. He’s hardworking and dedicated. I would say to him ‘Take a vacation, Anthony’ and his idea of a fun weekend would be to come to home to Maine and attend Mass.”
A March 2011 DealBook profile of Chiasson and Ganek reported that Chiasson sat on the Board of Trustees for his alma mater, Babson College in Wellesly, MA. His name is no longer on the list of trustees currently and it is unclear when his term ended on the board. The profile also said Chiasson sits on the board of trustees for Cheverus High School, the school he attended in in Portland, ME, though it is unclear if he still holds that seat.
His house on the Upper East Side, where FBI attempted to arrest him this morning, is worth $4.2 million and Chiasson took out a $3.3 million loan against it in 2003 to start Level Global, according to DealBook. Chiasson lives there with his wife Sandra and a son, Bloomberg reported.