- Paulson Bought 168 Million Shares of BofA
- Huge Bonus Hangs Over Pay Review
- SEC Is Ready to File Case Against Pequot
- UBS and US strike tax evasion deal
- U.S. Posted Record Year-to-Date Budget Gap in July
- U.S. Foreclosure Filings Set Third Record-High in Five Months Read the rest of this entry »
Paulson bets on B of A; Ouch: Citigroup forced to hire consutants to assess senior management competance; Citi says Andrew Hall compensation deal exempt from Czar review; Will Judge’s bail refusal for Madoff Lieutenants chill other witnesses into not talking?; US & UBS have a deal; Record budget defcit; Foreclosures continue to set record highs; Lehman sued AIG; Amaranth Settles; Sugar shortage?
So what equities did Art Samberg’s Pequot Capital report in their 13F as of 3/31/09? Here’s the chart study for their 13F filing dated 3/31/09. Given that they’re now in liquidation mode, we thought it was particularly relevant:
The 13F hedge fund chart studies we track were updated over the weekend. You can find them here.
Tags: 13F Charts, Appaloosa, Atticus, Baupost, Carl Icahn, Clarium Capital, Dan Loeb, Dave Tepper, Farallon, George Soros, GLG Partners, Greenlight Capital, Harbinger, Hedge funds, MatlinPatterson, Maverick Capital, Och Ziff, Passport Capital, Paulson & Co, Pequot Capital, Perry Capital, Philippe Jabre, Ramius, SAC Capital
Recession in the U.S.? $1,000 an ounce
gold? A filibuster-proof Democratic Senate? President Obama? If Byron Wien is
right, 2008 is going to be one hell of a year.
On Wednesday, the legendary Wall Street
guru and chief investment strategist of Pequot Capital Management released his
23rd annual list of 10 surprises he thinks are possible in the coming year.
Tops on his list is the first recession in
the United States since 2001, with the housing sector weak and banks scared of
lending to anyone who resembles trouble. On top of that, he expects
underwhelming consumer spending and the unemployment rate to rise above 5%, with
the Federal Reserve dropping the f ederal funds rate below 3%….
In early November, Wien expects to see the
junior senator from Illinois elected in a landslide victory while the Democrats
gain control of 60 seats in the Senate along with a clear majority in the House
SEC whistleblower Gary Aguirre takes the Wall Street Journal to task in that paper for their criticism of him, proclaiming his charges against the SEC are justified. From the WSJ:
Over three weeks, your paper published a column and an editorial portraying me as a former SEC attorney who makes groundless charges against the Wall Street elite and SEC officials.
The column attacks one of two Pulitzer-prize winning reporters who co-authored the first New York Times article about the SEC’s Pequot investigation. You accuse the Times and the reporter of "airing allegations that [Morgan Stanley CEO John] Mack … helped a hedge fund engage in insider trading." You toss in that I "brainstormed up the Mack allegations." Your editorial also accuses me of making groundless allegations, but now against Mr. Mack and the SEC….
…it is not my practice to make empty allegations. Former Enforcement Director Steven Cutler made this point when the SEC hired me as a "superior qualifications appointment." He cited my track record: "substantial recoveries" in more than 90 "consecutive complex cases."
Equally mystifying is your reference to my "long held sweeping grievances against hedge funds." Before the Pequot investigation, I had no experience with hedge funds — good or bad, never invested in one, never knew anyone who did. Before the Pequot assignment, it is unlikely that I used the term more than 20 times in my life.
Finally, you proclaim your own credibility in coming to the rescue of the SEC: "We have no affection for the SEC." That is surely true. But how often would you come to the rescue of an SEC that treated the Wall Street elite just like everybody else, as required by law?
My Charges Against SEC Are Justified – Wall Street Journal
The Senate Finance Committee’s report on allegations that the SEC got in the way of investigating Pequot because of the John Mack connection could be issued as early as next February. We thought that this thing would be wrapped up neatly but Grassley’s comment below makes us wonder what they’ve found that’s "generally "supportive"" of fired whistle-blower Gary Aguirre’s claims.:
Sen. Charles Grassley, R-Iowa, said in an interview that "we’re expecting early next year to have all of this wrapped up." He said the evidence turned up so far in the investigation into SEC’s probe of Pequot Capital Management was generally "supportive" of accusations by a former SEC enforcement attorney.
The attorney has said, among other things, that he was fired after his investigation got too close to John Mack, who currently leads investment bank Morgan Stanley.
SEC-Pequot probe to conclude early ‘07 – BusinessWeek
Pequot case: Was the hiring of an SEC lawyer by Debevoise an exchange for favorable treatment in the questioning of John Mack?
Guess it’s not over til it’s over:
A congressional investigation into claims the Securities and Exchange Commission gave favorable treatment to Wall Street investment banking executive John Mack in an insider-trading probe of Pequot Capital Management has taken a new turn.
SEC lawyers have been told to search their email for messages about a former SEC enforcement attorney who was hired by Debevoise & Plimpton LLP, the law firm that conducted its own investigation of Mack before he was named as chairman and chief executive of Morgan Stanley (MS) in June 2005. At the time, SEC lawyers contemplated questioning Mack in connection with the insider-trading probe.
Paul Berger, formerly an associate director in the SEC’s enforcement division, left the SEC this summer to become a partner in Debevoise’s Washington, D.C., office. Debevoise partner Mary Jo White, formerly the U.S. Attorney in Manhattan, represented Morgan Stanley’s board as it was conducting due diligence on Mack.
Probe of Pequot case prompts SEC e-mail search – MarketWatch
This morning’s New York Times article on the SEC clearance of Pequot Captal and John Mack was business as usual. The only thing remarkable about the story was what was missing from it. Gretchen Morgenson and Walter Bogdanich penned the article — the same reporters who wrote the oversensationalized and unsubstantiated NY Times story that landed on the paper’s front page and which started the entire tempest. Conspicuously absent from the article: any mention of their role in creating the story or any type of apology for what they set in motion. The story did make the front page of the main section though — in a barely noticeable blurb talking about what’s inside the paper, the very last item in the lower right hand corner. The title was an inconspicuous "No Action on Hedge Fund"
We think some apologies are due.
Pequot Says S.E.C. Won’t Take Action – New York Times
CNBC’s Charlie Gasparino reported that the SEC won’t be recommending any charges against Pequot Capital. They’ve been cleared of any wrongdoing in connection with the GE/Heller Financial deal and on about two dozen other deals.
Winners: Pequot, Art Samberg
Losers: New York Times — for making an unsubstantiated story front page news — and fired SEC whistleblower Gary Aguirre who failed to deliver the goods with any real evidence.
According to a Bloomberg report, Morgan Stanley CEO John Mack poured cold water all over SEC whistleblower Gary Aguirre’s claims that Mack passed inside information to Pequot Capital. He is said to have told the SEC during his testimony that he had no advance knowledge of the Heller acquisition, the subject of his alleged leak.
Brian Fidler, an accountant with Pequot Capital, has a seat at a very big poker game. In April, the 27 year old Fidler won an internet poker contest at fullcontactpoker.com — he won a year’s worth of lessons from the legendary Daniel Negreanu. And also part of the prize package: a $10,000 seat at the World Series of Poker in Las Vegas where the winner walks away with a $10 million prize….
In a statement e-mailed to the Wall Street Journal, Morgan Stanley confirmed that John Mack has agreed to be interviewed by the SEC, although there is no date yet set. However, it’s expected that it will happen in the next few weeks.
"He is happy to meet with the commission staff, and he welcomes the opportunity to put to rest any issues surrounding this matter".
SEC to Interview John Mack As Part of Insider-Trading Probe – Wall Street Journal
Where’s the beef? Weeks after his testimony we’re still waiting for the evidence: SEC Whistle-blower Gary Aguirre filed a lawsuit on Friday against the SEC in the U.S. District Court for the District of Columbia to try to get access to files related to his insider trading investigation into Pequot Capital Management that was ended for what he claims were political reasons….
It sounds like Gary Aguirre, who’ll be testifying before the Senate Judiciary Committee on Wednesday, may himself be in some hot water if he has SEC property in his possession that he shouldn’t have taken with him when he left the SEC. That includes documents, tapes, depositions, etc. The SEC wants it all back, or he’ll be smacked him with legal penalties….
Check out an excellent post from Jeff Matthews on the Pequot "so-called news". He’s skeptical that there’s much meat on the bone — or any at all — in New York Times’ elevated-to-the-front-page story. He takes aim at both the story and the Times’ coverage. We totally agree. Sadly, even with only the slim evidence that was provided, it’s provided more kindling to the Washington witch hunt types who seem to be hell bent on branding hedge funds as the root of all evil.
If you haven’t yet seen the text of the letters that fired SEC whisleblower Gary Aguirre sent to SEC chairman Christopher Cox and Senators Hagel and Dodd…
Pequot Capital issued a strongly worded denial of any wrongdoing regarding insider trading allegations made in a front page New York Times article this morning:
"At all times, Pequot securities trading has been entirely proper, and not based on insider information," the fund said.
"It is outrageous that the New York Times would print a front page story based on the unfounded allegations of a terminated SEC employee, and unsupported by any evidence. Nobody at Pequot was tipped by anyone regarding the Heller acquisition or any other corporate event," the statement said.
Pequot denies wrongdoing – Reuters
The SEC is investigating $7 billion hedge fund Pequot Capital, run by Arthur Samberg, for possible insider trading. And the SEC probe has also come under scrutiny for how they’ve handled it. One of the SEC lawyers who was involved in the investigation until last summer and then fired on 9/1, Gary J. Aguirre, claims that senior SEC executives backed his investigation until he wanted to get testimony from Morgan Stanley CEO John Mack, who was briefly Pequot’s CEO in 1995. He claims that a supervisor told him that getting authorization to have Mack subpoenaed would be tough because of his "powerful political connections." So is this a case of a disgruntled firee or is there meat on the bone?