Community Corner
US Attorney's Office in CT Focusing on Financial Crimes
David B. Fein, United States Attorney for the District of Connecticut and a resident of Old Greenwich, said his department is currently investigating several cases of insider trading and expects charges to be filed soon.
Federal prosecutors in Connecticut are reportedly shifting their focus to counter an occurring in the state, particularly insider trading among hedge funds.
In a report in the Greenwich Time, David B. Fein, United States Attorney for the District of Connecticut, said his department is currently investigating several cases of insider trading and expects charges to be filed soon. The article points out that Connecticut has “the largest concentration of hedge funds outside New York and London.”
The Justice Department, along with the FBI, is reportedly making financial crimes a “top priority” as these crimes now represent a significant threat to the weak U.S. economy. Previously cases involving financial crimes in southwestern Fairfield County have been handled by the U.S. Southern District of New York, according to the Greenwich Time report, however the Connecticut district is now playing a greater role in investigating and prosecuting such cases.
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As reported on New Canaan Patch, federal prosecutors from Fein’s office last year arrested , who managed a Stamford-based hedge fund, and , for allegedly running a pyramid scheme that bilked more than $500 million out of investors. Illarramendi, who has pleaded guilty to charges including fraud and conspiracy to obstruct justice, faces up to 70 years in prison. He is awaiting sentencing. In a Greenwich Time interview, Fein, a resident of Old Greenwich, said this was the biggest case of financial fraud his department has prosecuted thus far, but added that there are more to come.
