Friday, February 1, 2013

NY insider trading cooperator gets year in the Slammer



            
From HuffPo: A notorious Florida investor who feigned cooperation with the government even as she initially told lies in one of the biggest insider trading investigations was sentenced to a year in prison Thursday by a judge who said that cooperators who lie must be punished, even if they eventually provide substantial assistance.

Roomy Khan, 54, of Fort Lauderdale, Fla., dabbed tears from her eyes during the sentencing proceeding in U.S. District Court in Manhattan, where Judge Jed Rakoff credited Khan with "huge cooperation" in a probe prosecutors have repeatedly touted as the biggest hedge fund insider trading investigation in history.

He said, though, that he could not overlook the lies she initially told investigators to protect friends before she told the truth. Her cooperation played a role in enabling the largest use of wiretaps ever in an insider trading investigation, along with the dozens of convictions that followed….


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