Former hedge-fund kingpin Steve Cohen could get a little more time before the Securities and Exchange Commission decides whether to bar the billionaire investor from the industry for life.
Prosecutors, in a letter sent Wednesday to the administrative judge overseeing the SEC’s case against the founder of SAC Capital, the now-defunct hedge fund Cohen founded, asked for a delay in the proceeding until at least August.
Cohen has been charged in the civil case with a “failure to supervise” his employees.
The firm itself and eight former SAC employees have been criminally convicted of insider trading, leading to the SEC’s civil charges against Cohen.
The SEC’s case has been on hold since last August, as the criminal convictions of three individuals are on appeal. Successful appeals could weaken the civil case against Cohen.
One of those waiting to hear from the appellate court is Cohen’s former right-hand man, Michael Steinberg — whose conviction could be overturned if the other two-hedge fund honchos appealing convictions are successful.
The appeal of those co-conspirators, Anthony Chiasson and Todd Newman, is expected to be decided in the next few months, a letter to SEC Judge Brenda Murray said.