Business

SEC’s civil case against SAC’s Cohen may get delayed again

Manhattan US Attorney Preet Bharara has asked the Securities and Exchange Commission to hold off on its decision about former hedge-fund kingpin Steve Cohen for three more months.

Bharara asked SEC chief administrative law judge Brenda Murray to continue the stay of the civil proceedings against the former SAC Capital honcho, who is accused of failing to supervise former employees who were later found guilty of insider trading.

The US Attorney had asked for a stay until all the criminal charges are settled.

One outstanding issue is the pending appeal of convicted inside traders Anthony Chiasson and Todd Newman. If their case is overturned, it would have implications for the appeal of former SAC money man Michael Steinberg, who was convicted of insider trading last December.

Bharara asked the SEC to wait until the Chiasson/Newman appeal is decided, or until Nov. 26, before it reaches a final decision on Cohen.

The SEC’s case against Cohen has been postponed since August of last year. Cohen, who has denied the accusations, faces a potential lifetime ban from the securities industry if found guilty.

Cohen’s hedge fund, now known as Point72, admitted to failing to supervise employees and paid $1.8 billion as part of a settlement with federal prosecutors.

Under the terms, the firm is no longer allowed to manage money for outside investors.