Word: kidder
(lookup in dictionary)
(lookup stats)
Dates: all
Sort By: most recent first
(reverse)
With Siegel's help, Giuliani has cast a harsh spotlight on the elite Wall Street profession of investment banking. Most of the attention focused on Kidder, Peabody and Goldman, Sachs, since the alleged crimes took place while the accused were employed at those companies. The name of Merrill Lynch came up because Tabor worked at the firm for about six months prior to his arrest, but none of the insider trading uncovered by investigators took place there. All three companies issued strong denials that they had taken part in any illegal activity...
...arrests also seemed to contradict the notion that charges of malfeasance on Wall Street were aimed mostly at brash young M.B.A.s with an eye for a quick buck. Wigton had been a member of the Kidder, Peabody firm for more than 30 years. He was elected last year to the board of governors of the National Association of Securities Dealers, the respected regulating arm of the over-the-counter stock industry. Freeman was a 22-year Goldman, Sachs veteran. Only the youthful Tabor could be described in fast-track terms. A Rhodes scholar, he held down...
...wrongdoing.) Unocal, which was advised by Goldman, Sachs, eventually beat off the raider's advances, at a cost of $4.4 billion. But according to the charges, Goldman, Sachs Partner Freeman, who was privy to Unocal strategy, disclosed inside information about an important defensive move to Siegel at Kidder, Peabody. The move was a so-called exclusionary stock tender, which meant that Unocal would purchase stock from shareholders other than Pickens in a move to isolate the raider...
...information on to Wigton and Tabor. According to the charges, that duo then embarked on some sophisticated dealing for the brokerage's private trading account, based on their assumptions of how the stock market would react to the Unocal ploy. The twosome allegedly bought put options that allowed Kidder, Peabody to sell Unocal stock at a future date for a preset price that subsequently earned a handsome premium for the seller. The brokerage firm is said to have made "millions of dollars of illegal profits" on that and other transactions...
...federal authorities also charged that at roughly the same time, Siegel passed illegal insider information back to Goldman, Sachs' Freeman. Siegel allegedly told Freeman of secret plans by a Kidder, Peabody client, the Manhattan investment firm Kohlberg, Kravis, Roberts, to launch a takeover bid for Miami-based Storer Communications. That put Freeman in a position to profit from trading in Storer stock...