ny_quant

April 11 (Bloomberg) -- Federal prosecutors will charge
people who worked for Merrill Lynch & Co. and Goldman Sachs Group
Inc. with insider trading, said Megan Gaffney, a spokeswoman for
U.S. Attorney Michael J. Garcia in Manhattan.
The defendants will be ``charged with participating in a
massive international insider trading scheme that netted more
than $6.7 million,'' according to a statement from Garcia's
office. The arrests will be announced at a press conference today
at 11 a.m. New York time.
Charged will be Eugene Plotkin, an associate in the fixed
income research division at Goldman, and Stanislav Shpigelman, an
investment banking analyst in Merrill's merger and acquisition
division, according to court documents.
Plotkin and another man, David Pajcin, obtained secret
information about pending mergers from Shpigelman, according to a
criminal complaint unsealed today that. Pajcin, who has
previously been charged in other insider trading cases, wasn't
named in today's complaint.
``In exchange for cash payments and promises of future
payments based on a percentage of profits, Shpigelman provided
Plotkin and Pajcin with information concerning approximately six
different pending mergers or acquisitions being handled by
Merrill Lynch,'' the complaint says.