"Guilty Plea in Insider Trading Case
A Florida trader pleaded guilty Tuesday to criminal charges that he made trades based on inside information he got from a former Lehman Brothers broker.
The trader, Jamil Bouchareb, 27, of Miami Beach, entered the plea to charges of conspiracy and securities fraud in United States District Court in Manhattan.
As part of a plea deal with prosecutors, Mr. Bouchareb agreed to serve up to four years in prison. He also must forfeit more than $1.5 million in profits from trades. Sentencing was set for Aug. 5.
Prosecutors say Mr. Bouchareb made trades based on tips from a broker, Matthew C. Devlin, who got his information from his wife, a partner at a public relations firm, from 2004 to 2008.
Mr. Devlin pleaded guilty in December to conspiracy to commit insider trading and securities fraud, admitting that he passed along inside secrets he learned from his wife, enabling them to earn $4.8 million in profits."