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Friday, August 09, 2013

SAC, Prosecutors In Deal To Keep Hedge Fund Trading

http://www.finalternatives.com/node/24417

SAC Capital Advisors and federal prosecutors have reached an agreement that will allow the hedge fund to continue operating and investing even as it battle criminal fraud allegations.
The protective order and related application were submitted yesterday to U.S. District Judge Richard Sullivan's approval.
Under the deal, SAC must maintain at least 85% of the "aggregate value" of assets owned by its "entity defendants" as of July 1, some three weeks before prosecutors charged the firm with insider-trading. Should assets fall below that specified level during a month, SAC would have to "replenish" them within five days of the end of the month.

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