Wesley Wang wore a wire, he recorded phone calls, and according to Bloomberg, he named over 20 names.Perhaps that why yesterday, according to the NY Post, despite the fact that the former SAC Capital analyst admitted to insider trading for 7 years he was sentenced to two years probation without a fine.
It’s a message from Federal regulators — if you help us, we’ll help you. Wang’s cooperation led to 10 insider trading convictions.
From the NY Post:
“The extent of Mr. Wang’s cooperation . . . really goes beyond that even of most cooperators,” Manhattan federal Judge Jed Rakoff said at Wang’s sentencing yesterday. “He is really quite, quite valuable.”
When the infamously harsh Judge Rakoff is giving you props, you’ve obviously done your duty. And since no one knows the extent to which Wang cooperated, Wall Street may not have seen the Feds act on all the information he gave them.
That should be disturbing for SAC Capital and its founder, Steve Cohen.SAC founder Steve Cohen himself was said by federal prosecutors to have interacted with alleged inside trader Mathew Martoma.
Martoma is accused of running the most profitable insider trading scheme in history, netting a total of $276 million in alleged ill-gotten gains, but so far Martoma’s not talking.
Maybe after seeing how Wang was sentenced he’ll change his mind.