SEC charges analyst with giving SAC inside information
The U.S. Securities and Exchange Commission charged a sell-side research analyst with insider trading for allegedly providing nonpublic information to an SAC Capital Advisors portfolio manager.
The SEC on Tuesday said it amended its complaint against Richard Lee, who was charged with insider trading last week, to additionally charge Sandeep Aggarwal.
"Rather than rely on legitimate research methods, Aggarwal obtained confidential information from a close friend at Microsoft and passed it along to Lee knowing that he would likely trade on it," said Sanjay Wadhwa, senior associate director of the SEC's New York regional office.
In its charges against Lee last week, the SEC alleged that Lee's trading based on inside information enabled the SAC Capital fund he managed to generate more than $1.5 million in illegal profits.
—By CNBC's Justin Menza