Prosecutor: Insider traders relied on tech tips
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A prosecutor has told jurors at a New York trial's opening that a California researcher engaged in insider trading by delivering tomorrow's news today to hedge fund contacts.
Assistant U.S. Attorney David Leibowitz (LEEB-uh-whitz) told jurors in Manhattan that Winifred Jiau (Jow) received more than $200,000 for feeding inside information to others. Defense lawyer Joanna Hendon says her client never engaged in insider trading.
Jiau was arrested in December in a government crackdown on specialists in the financial industry who pass off inside information about companies as legitimate research.
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Prosecutors say the Fremont, Calif., woman provided inside information while she worked as a consultant for two years for Primary Global Research, a Mountain View, Calif., firm. Eight of 13 people charged in the probe have pleaded guilty.