NEW YORK (AP) SAC Capital Advisors pleaded guilty to criminal fraud charges Friday, satisfying a deal with the U.S. government that requires the hedge fund to pay a record $1.8 billion to settle charges that it allowed, if not encouraged, insider trading to occur for more than a decade.
The plea came four days after the government announced that the once-influential hedge fund owned by billionaire Steven A. Cohen had reached the deal that also required it to shut down its operations to outside investors.
But Judge Laura Taylor Swain did not immediately accept the plea, saying she'd wait until a probation report is made. She set a sentencing date for March 14, assuming she accepts it.
The plea was entered by Peter Nussbaum, SAC's longtime general counsel, to a single count of wire fraud and four counts of securities fraud. The plea was entered on behalf of SAC Capital LP, SAC Capital Advisors LLC, CR Intrinsic Investors LLC and Sigma Capital Management LLC.
In pleading guilty, Nussbaum said SAC Capital wanted to "express our deep remorse" for its crimes.