Former IBM exec to plead guilty in insider trading trial

24 May 2012

Former IBM exec to plead guilty in insider trading trial

30 March 2010

Once tipped for the CEO spot, Robert Moffat yesterday admitted giving Galleon hedge fund privileged information

A former IBM executive who was considered a potential chief executive for the company yesterday admitted that he gave insider information to a hedge fund.

"I disclosed material non-public information to Danielle Chiesi, a friend who I knew worked at a hedge fund," Robert Moffat told a judge in New York. "I knew that the information I provided would be helpful to her in performing her job executing securities transactions."

The former vice president of IBM’s systems and technology group was charged under an investigation into the Galleon hedge fund, which also brought charges against executives from Intel and McKinsey. Former AMD chief executive Hector Ruiz was linked to the scandal, but not charged.

Moffat yesterday announced his intention to plead guilty, although his plea was not immediately accepted. He faces up to 25 years in prison.

Comments

There are currently no comments on this article

People who read this also read...

Software support vendor fights back against Oracle

Rimini Street responds to Oracle's intellectual property theft allegation by accusing the software and systems giant of five year campaign of 'disruption'

Yale postpones move to Google Apps over cloud fears

US university delays switch to Google’s online email and applications service after faculty and students express legal and security concerns

Indian companies 'the greenest in the IT industry'

Greenpeace applauds Indian IT suppliers for green business processes while criticising Dell for 'backtracking' on environmental pledge

Spending watchdog mauls government IT procurement

Outgoing head of Public Accounts Committee criticises government for poor planning and overspending on public sector IT systems

Sun takeover boosts Oracle sales but hits profits

Acquisition costs cut profit, but Larry Ellison's characteristic bombast is unbowed as he sets SAP in his sights

White Papers

'Think Lean' When Developing Management System Documentation

Learn how to efficiently and effectively implement a document management system for your organization.

11 Hiring Trends for 2011

In this document, you'll get the insider info you need to give potential employers what they want and beat your competition in 2011. You'll learn about the most valuable certifications and the game-changing skills that can lead to more job security and stability.