Monday, September 10, 2007
Trial date set for banker accused of insider trading in TXU buyout
The accused' lawyer is predicting a full acquittal.
Photo not provided by the SEC, TXU
DALLAS — According to this story in the Dallas Business Journal, it appear a trial has been set for former Credit Suisse banker Hafiz Naseem. Naseem has been accused of using insider knowledge of the proposed buyout for financial gain.
According to the SEC investigation, Naseem called Ajaz Rahim, an investment banker at Faysal Bank in Pakistan, and shared information related to the not-yet-announced TXU buyout. Naseem allegedly made the calls from his office phone at Credit Suisse in New York to Rahim's cell and home phones. The SEC says Ajaz Rahim bought at least 6,700 call option contracts ahead of the TXU deal, raking in over $5 million in profit.
If convicted, Naseem could face 300 to 400 months in prison, or deportation. Naseem's attorney, however, expects a full acquittal.
Posted by Todd M.
