(John Disney/Daily Report)
Saying the firm is “deeply remorseful,” a lawyer for hedge fund SAC Capital has asked a federal judge to approve its pending $1.8 billion insider-trading settlement with the government.
According to Bloomberg, Willkie Farr & Gallagher litigation partner Martin Klotz asked U.S. District Judge Laura Taylor Swain in a two-page letter submitted Thursday to approve the agreement. Bloomberg notes that a sentencing hearing before Swain is scheduled for April 10.
“The defendants are deeply remorseful for the misconduct of each of the individuals who broke the law while employed by them,” Klotz wrote. “Even one person crossing the line into illegal behavior is unacceptable. The defendants are chastened by this experience, but are determined to learn from it.”
Bloomberg reported that eight current or former SAC employees have been convicted on insider trading charges.
According to the Bloomberg report, Klotz wrote in his letter that “there can be no doubt that these and other penalties send a strong public message about the costs of the conduct that have brought the defendants before Your Honor.”
One aspect of the settlement, Bloomberg notes, is that SAC Capital will cease to exist under that name. It will morph into a family office focused on managing founder Steven Cohen’s assets, will be called Point72 Asset Management, and will see its workforce cut from 1,000 employees to 850 employees.