GO
Loading...

SAC Capital to fight civil case against founder

Wednesday, 6 Nov 2013 | 5:39 PM ET
SAC likely to be holding company for illiquid assets
Wednesday, 6 Nov 2013 | 4:55 PM ET
CNBC's Kate Kelly reports that SAC Capital is considering moving its family office into a new corporate entity, which may result in a name change.

SAC Capital agreed to pay $1.8 billion in an insider trading settlement with the U.S. and plead guilty to every count in the indictment, but the hedge fund plans to fight the civil case against founder Steve Cohen for failure to supervise employees.

(Read more: Video deposition: Cohen calls insider trading rules 'vague')

Saying that the case is "without merit," SAC signaled that it is unlikely to settle, reported CNBC's Kate Kelly.

The former mighty hedge fund also intends to change its office structure. SAC has informed staff it would manage only the capital belonging to the founder, his relatives and certain employees. The new office may have a new name, but that is yet to be determined.

(Read more: SAC to become family office, operating 'much as we do now')

—By CNBC

Featured