This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

SAC Capital Faces Probe Over MedImmune Trades

NEW YORK ( TheStreet) -- Hedge Fund SAC Capital Advisors is being investigated by the Securities and Exchange Commission into whether traders used inside information to profit from the $15 billion takeover of MedImmune in 2007, The Wall Street Journal reported.

The investigation is part of a broad SEC inquiry into trading by hedge funds in stocks connected to some of the biggest health care deals of the past decade, the Journal said, citing people familiar with the matter.

It wasn't previously known that SAC was a focus of the SEC insider-trading probe, the newspaper noted. Authorities haven't alleged any wrongdoing by either SAC Capital or Steven A Cohen, who founded the firm in 1992.

"We respond to all regulatory inquiries fully and accurately, and we are confident in our business practices," an SAC spokesman told the newspaper.

SAC also is being investigated by Iowa Sen. Charles Grassley into whether it engaged in potential insider trading in multiple instances over the past 10 years. Federal prosecutors in New York also are investigating the firm.

MedImmune's purchase by AstraZeneca (AZN - Get Report) is one of several big health care deals the SEC has been investigating for at least 18 months, the Journal said, citing the people familiar with the matter.

-- Written by Joseph Woelfel

>To contact the writer of this article, click here: Joseph Woelfel

>To submit a news tip, send an email to:

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AZN $31.35 -2.40%
AAPL $111.84 0.22%
FB $94.07 -0.20%
GOOG $651.10 0.69%
YHOO $32.36 -1.50%


Chart of I:DJI
DOW 17,096.68 -35.18 -0.21%
S&P 500 2,014.89 +15.91 0.80%
NASDAQ 4,819.1320 -19.5110 -0.40%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs