The lawsuit filed by SAC Capital founder Stevie Cohen’s ex-wife does far more than accuse her ex-husband of hiding millions from her.
Coehn’s ex-wife claims that some of the millions Cohen hid from her were made through insider trading the 1980s. Zach Kouwe and Jenny Anderson at The New York Times report the details of the accusations:
She claims in her suit that in 1985, while they were married, Mr. Cohen confessed to her that he received inside information on the takeover of RCA by General Electric. When she asked him if trading on such information would be illegal, Mr. Cohen said that that he knew that the source was a former classmate of his from Wharton. But he obtained the information from a mutual friend, so he was not involved in insider trading.
Mr. Cohen told her that he had made substantial profits on the trade and assured her that insider trading was only a civil matter, not a criminal one, according to her complaint. In 1986, Mr. Cohen invoked his Fifth Amendment rights when testifying about his trades before the Securities and Exchange Commission.
The lawsuit goes on the allege the Cohen hid the profits from his trades through real estate transactions and Miami’s Pan American bank. Read the rest of Kouwe and Anderson’s report here.
Ms. Cohen is asking for $300 million in her law suit. His lawyers are calling the suit ludicrous. Her lawyer says that he can’t wait to drag Stevie before a jury.
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