Currency dealers in London gave information about client orders to day traders who then made bets on their behalf, sidestepping restrictions on personal trading, three people with knowledge of the practice said.
Two former day traders who were convicted of trading on stock tips gleaned from the wife of a former Lehman Brothers Holdings Inc. salesman settled claims by the U.S. Securities and Exchange Commission.
Billionaire Philip Falcone’s hedge fund, Harbinger Capital Partners LLC, was told it may be sued by federal regulators for securities-law violations and said it plans to halt investor withdrawals at year-end.
A former broker at Merrill Lynch & Co. and Citigroup Inc. lost a bid to throw out his conviction for selling access to his brokerages’ internal “squawk boxes” after arguing prosecutors hid evidence of his innocence.
BM&FBovespa SA, the operator of Latin America’s biggest exchange, is lowering fees for stock transactions and will offer incentives to day traders to boost volumes, Chief Executive Officer Edemir Pinto said.