Feds Nab 7 in $61.8M Stock Fraud Case

Seven people have been charged in an insider trading scheme that netted more than $61.8 million in illegal profits based on trades of a single stock, prosecutors announced today. Two New York hedge fund executives and a Massachusetts man were among four charged in a criminal complaint in federal court in Manhattan.

Anthony Chiasson was among those charged with conspiracy to commit securities fraud and securities fraud. He surrendered to the FBI this morning. He's a co-founder of former hedge fund group Level Global Investors LP. Jon Horvath was arrested at his New York City home. He's an employee of Sigma Capital Management, an affiliate of hedge fund SAC Capital Advisors in Manhattan. Also arrested was Todd Newman in Needham, Mass. (More fraud stories.)