Former E&Y partner charged with insider trading
A former E&Y partner was charged with insider trading in Manhattan yesterday
A former Ernst & Young (R&Y) partner together with an investment
banker were charged in US District Court in Manhattan with conspiracy to commit
securities fraud and 11 counts of securities fraud.
James Gansman, the former E&Y partner, and Donna Murdoch, the investment
banker, were accused of joining a scheme to trade illegally on seven separate
potential merger and acquisition transactions which involved E&Y clients,
Forbes magazine reports
Prosecutors said Gansman provided tips and Murdoch used them to trade
securities in personal accounts, earning more than $390,000 in profits.
The illegal trades allegedly took place between May 2006 and December 2007,
while Murdoch was working as a consultant and an investment banking managing
director at a broker-dealer and investment and financial services company.