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Lawyer charged over $30m in illegal profits
An American M&A lawyer has been accused of being part of an insider trading scheme that has netted $US32 million ($A30.6m).The Financial Times reports that New Jersey prosecutors have filed…
Lawyers Weekly
An American M&A lawyer has been accused of being part of an insider trading scheme that has netted $US32 million ($A30.6m).
Kluger, a senior associate with Wilson Sonsini Goodrich & Rosati for five years, is accused of stealing confidential information from the firm in relation to transactions involving high-profile technology companies including Oracle, Sun Microsystems and 3Com.
They further allege that Kruger was part of a scheme that invested more than $100 million during his five years at Wilson Sonsini, with profits on some deals exceeding $10 million.
The lawyer is also accused of trading on confidential information while an employee of Cravath, Swaine & Moore and Skadden, Arps, Slate, Meagher & Flom. None of the three law firms where Kluger has worked are implicated in the alleged fraud.
Investigators believe the illegal trading started in 1994, with Johnson & Johnson's acquisition of Neutrogena. It has been alleged that Kluger and other members of the scam concealed their activities by using pay phones and throwaway prepaid mobile phones.
