Wall Street Folly

Stanislav Shpigelman, the former Merrill Lynch analyst at the center of an insider-trading ring, is arguing that he was "deceived, intimidated and flattered" into providing the illegal information to his cohorts, according to a recent legal filing.

The former mergers and acquisition analyst – long one of the most sensitive posts on Wall Street – Shpigelman was sentenced to 37 months in prison last month for his role in a wide-ranging insider trading plot.

He provided the tips for collaborators and former Goldman Sachs analysts David Pajcin and Eugene Plotkin to trade on.

In papers filed last week seeking clemency, Shpigelman’s lawyer paints a picture of a man whose initial mistake in providing illegal information was compounded when his associates in the ring used intimidation and deception to draw him in further.

Shpigelman Was Bullied To Give Info: Lawyer – New York Post

Tags: Eugene Plotkin, Goldman Sachs, Insider Trading, Merrill Lynch

Merrill Lynch analyst Stanislav Shpigelman got 37 months in prison for leaking deal information to the insider trading ring masterminded by former Goldman Sachs analysts Eugene Plotkin and David Pajcin — at the lower end of the 37 to 46 months federal sentencing guidelines.  According to Bloomberg, he’s the first banker to draw jail time in a big insider trading case.  He’s the second person sentenced — postal employee Jason Smith was sentenced last month to 33 months in jail for leaking confidential grand jury information to Plotkin and Pajcin.

Shpigelman, 24, a former analyst in Merrill’s mergers-and- acquisitions division, told U.S. District Judge Kenneth Karas today he was “sorry” for giving secret information about pending mergers to two junior employees at Goldman Sachs Group Inc., Eugene Plotkin and David Pajcin, who bought shares in companies targeted for takeover.

“I realize what I’ve done is inexcusable,” Shpigelman said in Manhattan federal court. “I do beg for leniency.”

Read the rest of this entry »

Tags: Eugene Plotkin, Goldman Sachs, Insider Trading, Merrill Lynch

Jason Smith, a former postal worker who was a member of the insider trading ring masterminded by former Goldman Sachs employees Eugene Plotkin and David Pajcin was sentenced to 33 months in jail for his role in the plot:

The ex-postal worker was accused of relaying information that he learned while serving on a grand jury panel looking at Bristol-Myers’ accounting practices to Pajcin, a high-school friend, and Plotkin.

Pajcin agreed to cooperate with authorities, while Plotkin and another defendant are awaiting trial in April on insider trading and other charges. Two other defendants accused of participating in the insider trading network have pleaded guilty and are awaiting sentencing.

In addition to his prison term, Smith also was sentenced to three years of supervised release and a $6,000 fine. He is to report to prison on Jan. 29

Ex-postal worker gets jail time for insider trading – Reuters

Tags: Eugene Plotkin, Goldman Sachs, Insider Trading, Merrill Lynch

Fortune Magazine’s current edition features a fascinating in-depth piece on the insider trading ring (covered extensively by WSF since the news broke) that snared former Goldman Sachs analysts Eugene Plotkin (pictured at left) and David Pajcin (pictured below), former Merrill Lynch analyst Stanislav Shpigelman, and a cast of characters including Croatians, a stripper/exotic dancer, a US Mail employee and workers at Business Week’s printer.   Plotkin gave his first interview since his arrest to Fortune, in the presense of his lawyer.  He doesn’t talk about the case — he still maintains his innocence even though Pajcin, Shpigelman and others in the pervasive ring have already caved, are cooperating with the feds, and have copped pleas. 

When Plotkin spoke to Fortune in early September, he talked about his plans for the future. They don’t include Wall Street. His current ambition is to become a novelist and screenwriter like Michael Crichton. "I’d love to do something with writing or something creative," Plotkin says. "I never thought of it as a career choice before, but maybe I was wrong not to."

His lawyer, Edward Little, wouldn’t comment on any of the specifics of the case. "What’s happening to Gene is a real-life rendition of the movie he made," he says. "The bad guy in the movie is the government cooperator trying to shift blame for what he did to the good guy. Gene played the good guy there too."

Indeed, toward the end of his script, Plotkin’s hero pleads, "I just want my life back."

To which Pajcin’s sinister drug dealer responds, "Sorry, bud, but I don’t think that’s gonna happen." 

Read the rest of this entry »

Tags: Eugene Plotkin, Goldman Sachs, Insider Trading, Merrill Lynch

This Craigslist poster is interested in Wall Street Bath & Spa 88: "Has anyone been to the MEN ONLY nights, Tuesdays 9-11 p.m.? What’s it like? Thanks."

Memo to poster:  You might want to get hold of the finally-out-on-bail insider trading ring leader Eugene Plotkin or his associate Stan Shpigelman — they seem to have at least a passing familiarity with Spa 88 and might be able to give you some tips….

Tags: Craigslistspotting, Eugene Plotkin, Insider Trading

Three more European defendants were added to the list of alleged insider traders that so far include former Goldman Sachs employees Eugene Plotkin and David Pajcin, former Merrill Analyst Stanislav Shpigelman (who already pleaded guilty), a stripper, a seamstress and a U.S. Postal worker.  So far seventeen people have been charged….

Read the rest of this entry »

Tags: Eugene Plotkin, Goldman Sachs, Insider Trading, Merrill Lynch

Fomer Merrill Lynch M&A analyst Stanislav Shpigelman, who was busted as part of the insider trading ring that included former Goldman Sachs employees, a stripper, a U.S. post office employee and several others, became the first domino to drop and plead guilty.  He admitted to passing on inside information via cell phone to others nabbed in the plot.   In a court appearance on Friday with his parents on hand, he said that he was "eternally regretful" for his role in the crime.

A plea agreement Shpigelman signed with prosecutors _ in which he admits to a single count of conspiracy to commit insider trading _ includes a recommendation that he serve between three and four years in prison after he is sentenced Nov. 17.

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Confined to jail since his mid-April arrest on insider trading charges, former Goldman Sachs analyst and alleged ring leader Eugene Plotkin was finally sprung on Friday.  Plotkin had been having trouble fulfilling the terms of his $3 million bail.  Ultimately, his parents, his aunt and uncle and a pair of close family friends have all put up their homes worth around $2 million.  Plotkin also gets some new jewelry to wear in the form of an ankle bracelet to monitor his whereabouts — he’s confined to house arrest in his Rockland County, NY apartment.  His new lawyer Edward Little argued against the hardware, even pulling the old Harvard card:

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

CNBC showed postal worker Jason Smith, the latest member of the insider trading club that snared the still jailed Eugene Plotkin and out-on-bail Stanislav Shpigelman, doing his perp walk.  His head hung low to evade the cameras, we did our best to capture some of the shots.  Annoyingly enough, the CNBC Turkey — er peacock — covered part of the action, which we’ve also captured.  CNBC: we still hate the graphics, especially when they interfere with the news…

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Jason Smith, a postal worker, was charged with leaking confidential information of a Bristol Myers Grand jury investigation to alleged insider traders Eugene Plotkin and David Pajcin….

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

A new name will be added to the Goldman Sachs Merrill Lynch insider trading ring that nabbed Eugene Plotkin and Stanislav Shpigelman, among others.  Federal prosecutors will make the announcement at noon…

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

The New York Times has another background piece on the cast of characters in the most recent insider trading ring involving former Goldman Sachs and Merrill Lynch employees.  Much of it is a rehash, but there is some new info in the piece:  Monica Vujovic raked in $6,000-7,000 a night performing exotic dances according to a transcript of David Pajcin’s bail hearing.  Yowsah!  Pajcin badly impersonated Vujovic, his girlfriend, on the phone with Ameritrade where he did some of the illegal trading in her account, although Ameritrade didn’t monitor the account despite their suspicions.  Oops.  Pajcin and Vujovic made trades in her account over coffee at Starbucks.  Pajcin had aspirations to manage a hedge fund — uh — probably not much chance of that now.  And Eugene Plotkin is still sitting in the pokey, still not able to make his $3 million bail….

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Ethics classes at SUNY Binghamton will likely be hearing more about Stan Shpigelman in the future as the school grapples with how to use its former star student as a lesson.

Also: When it comes time for Stan Shpigelman to go on trial for his part in the recently uncovered insider trading ring, his Alpha Phi Delta fraternity brothers may be on hand to lend support…

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

We found a couple of more pictures of Monika Vujovic at an event…

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Crossing Wall Street managed to track down a picture of Monika Vujovic, the 23 year old exotic dancer babe from the insider trading scandal, masterminded by Eugene Plotkin and David Pajcin.  It was a group shot which we adjusted.  Who needed all of those other people in the picture anyway?

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

The smoking gun in the Merrill Goldman Insider trading ring was a single pc with a unique IP address…..

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

According to his lawyer, Martin Schmuckler (could you think of a more appropriate name for a lawyer???), Harvard educated Eugene Plotkin "up until today, he was considered a good catch. Hopefully, when this case is over he will still be considered a good catch."

And it’s not only because he went to Harvard.  Plotkin seems to have other talents which may prove useful in his legal case…

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

This is where it all allegedly started — at Russian day spa "Wall Street Bath & Spa (Spa 88) — in November 2004. Goldman Sachs’ fixed income analyst Eugene Plotkin introduced ex-Goldman employee David Pajcin to Merrill analyst Stanislav Shpigelman and the insider trading plans were off and running.

We didn’t even know that Russian bath houses existed;  the only ones we had ever heard of were of the gay variety (and no, not from experience!).  So we thought we’d check the scene of the crime out….

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Naturally no Wall Street story these days is complete if it doesn’t include strippers.  According to the complaint filed against the defendants, new era insider traders Eugene Plotkin, David Pajcin and Stanislav Shpigelman, Plotkin and Pajcin had plans for the next phase of their insider trading scheme, which included recruiting exotic dancers at strip clubs to eavesdrop on business meetings to get a leg up (so to speak) on deals….

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading

Merrill Lynch and Goldman Sachs bankers have been nabbed in a huge insider trading scheme that’s netted more than $6.7 million.  Eugene Plotkin, an associate in the fixed income division at Goldman Sachs and Stanislav Shpigelman, an investment banking analyst with Merrill Lynch’s mergers and acquisitions division will be charged….

Read the rest of this entry »

Tags: Eugene Plotkin, Insider Trading