The criminal case against the hedge fund SAC Capital Advisors has reached a conclusion, people briefed on the matter said, with the government expected to announce Monday that SAC will plead guilty to insider trading charges and pay a fine of roughly $1.2 billion, the New York Times DealBook blog reported yesterday. However, the agreement does not resolve a separate civil lawsuit that the Securities and Exchange Commission brought against fund manager Steven Cohen in July, accusing him of failing to supervise his employees. Six former SAC traders have pleaded guilty to insider trading crimes. The firm and Cohen will also remain under scrutiny during the coming criminal trials of two other employees, one whose case begins in federal court in Manhattan this month. The trials of the employees, Michael S. Steinberg and Mathew Martoma, are expected to provide the first detailed witness testimony about the inner workings of SAC and Cohen’s role in the trades at the center of those cases.
