An Indian-origin portfolio manager has been sentenced to 9 years in jail for his role in one of the “most lucrative” insider trading schemes ever in the U.S. involving a “staggering” $276 million and ordered to forfeit a $9.3 million bonus he earned through it.
Mathew Martoma, 40, was sentenced in federal court here on Monday by U.S. District Judge Paul Gardephe, who ordered that he also forfeit his interests in his Florida home and several bank accounts.
“I cannot and will not ignore that the gain is hundreds of millions of dollars more than ever seen in an insider trading prosecution,” Justice Gardephe said.
Martoma, a portfolio manager of CR Intrinsic Investors, a division of hedge fund behemoth SAC Capital, was convicted in February this year for collecting confidential information about a high-profile Alzheimer’s drug trial from two doctors and making profits and avoiding losses of $275 million for SAC Capital.
