First they came for Don Ching Trang Chu. Then, as part of the same sweeping insider-trading bust, the feds subpoenaed Steve Cohen’s SAC Capital, arrested a few folks who sold Apple secrets to traders, and made another tech-related insider-trader sing his secrets for them. Now California-based Winifred Jiau has been charged with securities fraud and conspiracy, after allegedly leaking secrets about technology companies to two hedge funds in exchange for illegal payments. Primary Global Research LLC, a firm that connects hedge funds with industry experts that’s been a part of the federal insider-trading investigation from the get-go, said it used Jiau as a consultant from September 2006 to December 2008, the time frame in which prosecutors said Jiau’s alleged illegal activity took place. So there’s that.
Since the feds went public with the plans last month, Jiau is actually only the sixth person to be arrested in connection with the long-researched, allegedly epic probe. This time, though, we also got a juicy blind item out of the arrest: Which founder of a New York hedge fund was allegedly receiving inside information about publicly traded companies from Winifred Jiau? He hasn’t been identified by prosecutors yet, but he was reportedly funneling more than $200,000 through an expert network firm for the tips. They were financially canoodling.
California woman arrested in insider trading case [Reuters]
California Woman Is Latest Charged in Insider Probe [WSJ]
