NEW YORK - Federal prosecutors have charged two junior employees at Merrill Lynch & Co. and Goldman Sachs Group Inc. with running a $6.7 million US insider trading scheme.
Stanislav Shpigelman, 23, an analyst with Merrill's merger and acquisition division, gave secret information on about six pending takeovers to Eugene Plotkin, 26, a Goldman's fixed-income research associate, and another Goldman employee who's already been arrested, according to a complaint by U.S. Attorney Michael J. Garcia unsealed Tuesday.
The defendants netted $6.4 million US from trading on the merger information. Plotkin and his former Goldman colleague, analyst David Pajcin, 29, also participated in a $340,000 US operation in which they found out the names of stocks recommended by Business Week magazine before it was published, the complaint said. Plotkin is co-operating with Garcia's office.
Stanislav Shpigelman, 23, an analyst with Merrill's merger and acquisition division, gave secret information on about six pending takeovers to Eugene Plotkin, 26, a Goldman's fixed-income research associate, and another Goldman employee who's already been arrested, according to a complaint by U.S. Attorney Michael J. Garcia unsealed Tuesday.
The defendants netted $6.4 million US from trading on the merger information. Plotkin and his former Goldman colleague, analyst David Pajcin, 29, also participated in a $340,000 US operation in which they found out the names of stocks recommended by Business Week magazine before it was published, the complaint said. Plotkin is co-operating with Garcia's office.


