Ex-IBM exec gets 6 months in prison
NEW YORK -- Former IBM executive Robert Moffat has been sentenced to six months in prison for his role in what prosecutors call the biggest hedge fund insider trading case in history.
Moffat pleaded guilty to securities fraud and conspiracy to commit securities fraud earlier this year.
The case has resulted in charges against 21 defendants. Authorities say profits from illegal trades topped $50 million.
The Ridgefield, Conn., resident was once considered a candidate for chief executive officer at International Business Machines Corp.
The defense said Moffat was "played" by a hedge fund employee who used their intimate relationship to get confidential information.
Prosecutors asked for the six-month sentence. They said his crimes were committed out of a misguided belief he could never be caught.
The defense asked for probation.