Anthony Chiasson, 38 year-old co-founder of Level Global Investors, recently turned himself in to the FBI. Why? Because they attempted to arrest him at his home after an insider trading investigation revealed he had made huge amounts of money on illegal insider trades. In fact, Chiasson made $53 million in a single trade of Dell stock – which is the largest single trade ever charged in Manhattan. Chiasson wasn’t home when about 6 FBI agents converged on his Upper East Side home, so he turned himself in later.
Investigators allege that a ring of traders at different firms shared information, illegally gaining a total of $61.8 million. In total, the FBI arrested 7 people, including Chiasson. The complaint “describes a circle of friends who essentially formed a criminal club” where “everyone scratched everyone else’s back.” Recall that last year Raj Rajaratnam was sentenced to 11 years in jail for insider trading gains of a similar amount.
Although prosecutors requested bail of $10 million, the judge set bail at $2.5 million. The bond was secured by half of that amount by property Chiasson owns.