|David Voreacos and Alan Katz|
Eydelman traded from
Eydelman met the middleman near the large clock at
“The middleman then chewed up, and sometimes ate (with Eydelman watching), the Post-It note or napkin to destroy evidence of the tip,” according to the SEC complaint.
Eydelman began his illegal trading at
“We were just informed of the arrest this morning and will cooperate fully with the authorities as they pursue this matter,” said
The middleman, who wasn’t identified, cooperated with the
“It’s a lot of risk,” Eydelman said on
PASSING INFORMATIONIn his meetings with the middleman, Metro would pass inside information by typing the names of companies involved in transactions on his mobile phone, according to the SEC. Metro pointed to the names or ticker symbols on his phone to tell the middleman which company was being bought or sold.
The men invested more than
Eydelman used proceeds of the scheme to buy a 2011 Maserati GranTurismo for
Metro is charged with nine counts of securities fraud, Eydelman with eight counts of securities fraud and each with four counts of tender offer fraud.
“Law firms are sanctuaries for the confidential treatment of client information, and this scheme victimized not only a law firm but also its corporate clients and ultimately the investors in those companies,”
In 2012, attorney
In another case, two
The new cases are U.S. v. Metro, 14-mj-8079, and
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