Now in Legal Rebels:
Posted Jul 26, 2010 11:23 am CDT
The Securities and Exchange Commission paid $1 million for information in an insider trading case against the founder of Pequot Capital Management.
The money went to Karen Kaiser, who is the ex-wife of a former Microsoft employee who went to work for Pequot, the Wall Street Journal (sub. req.) reports. He is accused of giving advance information about Microsoft earnings to Pequot founder Arthur Samberg.
Samberg settled the SEC’s civil case against him for $28 million earlier this year without admitting liability. An SEC suit against the former Microsoft employee, David Zilkha, is pending, the story says.
The SEC paid the $1 million to Kaiser and her new husband under existing authority to reward whistle-blowers in insider trading cases, the story says. That authority will be expanded under the new financial reform bill.