Press statements from SEC and CFTC regarding flash cash trader Navinder Singh Sarao's guilty plea.

SEC

CFTC

IN AN UNPRECEDENTED EFFORT, OUR FIRM'S CLIENT DISCOVERED THE MANIPULATIVE ACTIVITY THAT WAS BROUGHT TO THE ATTENTION OF THE CFTC AND DOJ WHO SUBSEQUENTLY CHARGED MR. SARAO AND NOW HAVE SUCCESSFULLY WON THIS EXTRADITION FIGHT AND SECURED HIS GUILTY PLEA

Valeant gets investigative subpoena over former ties with Philidor

Canadian drugmaker Valeant Pharmaceuticals International Inc said on Wednesday it received an investigative subpoena from the California Department of Insurance in September over its ties to pharmacies and marketing.

The request follows allegations against Valeant that it used speciality pharmacy Philidor Rx Services Llc to force customers to pay higher prices for its drugs. read more»

Mylan working to finalize EpiPen Medicaid settlement-CFO

Generic drugmaker Mylan NV said on Wednesday it was working to finalize a settlement with the U.S. government over Medicaid rebates for its EpiPen emergency allergy treatment, adding that money set aside for the settlement led to a third quarter loss.

The company had previously said it agreed to terms of a settlement set at $465 million. However the U.S. Justice Department and other agencies have yet to confirm any such agreement.

The dispute involves the classification of EpiPen as a generic rather than a branded product, which led to significantly smaller rebates to state Medicaid programs. read more»

Ex-Rabobank trader gets three months in U.S. prison for Libor scheme

A former Rabobank trader from Australia was sentenced on Wednesday to three months in a U.S. prison for conspiring to manipulate Libor, the leading benchmark for pricing financial transactions, to the bank's advantage.

Paul Thompson, the Dutch bank's ex-head of money market and derivatives trading for Northeast Asia, was sentenced by U.S. District Judge Jed Rakoff in Manhattan after pleading guilty in July to conspiring to commit wire fraud and bank fraud.

While Rakoff agreed with prosecutors that prison time was warranted, he cited several mitigating factors justifying a short term, including health issues suffered by Thompson and some family members. read more»

Movie Producer Charged With Defrauding Hedge Fund Investors

The Securities and Exchange Commission today charged a former movie producer and self-proclaimed private equity executive with defrauding investors in hedge funds and using the money he stole to support his extravagant lifestyle.

According to the SEC's complaint, David R. Bergstein of Hidden Hills, California, stole millions from investors in 2011 and 2012 and used the money for purchases with a firearms dealer, an antique watch and jewelry retailer, and a bonsai tree nursery.  The SEC's complaint alleges that the scheme relied on a series of intricate transactions by Weston Capital Asset Management, then a registered investment adviser, with two of its unregistered hedge funds, Weston Capital Partners Master Fund II Ltd. and the Wimbledon Fund SPC Class TT Segregated Portfolio.

In one transaction, the SEC alleges that Bergstein misappropriated at least $2.3 million of money that was purportedly meant for investments in medical-billing businesses and helped Weston Capital Asset Management conceal the true nature of the transaction from Weston investors.  In a second allegedly fraudulent transaction, Bergstein stole more than $3.5 million of funds also purportedly meant, in part, for investments in medical-billing businesses.

"The use of elaborate corporate transactions to mask old-fashioned theft of investor monies will not prevent the SEC from enforcing the federal securities laws and protecting investors," said Andrew M. Calamari, Director of the SEC's New York Regional Office.  "Violators will be held to account no matter the artifice used to perpetrate their frauds."‚ read more»