(Bloomberg) -- A Goldman Sachs Group Inc. compliance employee hired to develop surveillance software to detect illegal behavior, including insider trading, settled an SEC lawsuit that accused him of helping himself to confidential data and trading on it. Yeu Han, a Chinese citizen also known as “John Han,” agreed to pay more than $903,000 to the U.S. Securities and Exchange Commission, money which he earned on the trades, under an accord approved Wednesday by a U.S. judge in Manhattan. Han worked in Goldman Sachs’s compliance division developing surveillance models to identify “potential risk behavior,” including market manipulation and insider trading, according to the SEC’s complaint. He had access to e-mails of Goldman Sachs employees who worked on confidential mergers and acquisition transactions, according to the agency. Han knew the information was nonpublic and confidential and that he had to disclose his brokerage accounts and get advance clearance from a supervisor for any trading, the SEC said. Beginning in December 2014, in violation of company policy, he began trading in securities of four companies: Yodlee Inc.; Zulily Inc.; Rentrak Corp. and KLA-Tencor Corp., shortly before each publicly announced merger and acquisition transactions, the SEC alleged. He made more than $468,000 using his personal trading account and more than $434,000 through a relative’s account, according to the SEC. Han left the U.S. for Shanghai last October, the SEC said. Han, who represented himself in the legal proceedings, didn’t immediately return an e-mail sent to him seeking comment about the accord. The case is SEC v. Han, 15-cv-09260, U.S District Court, Southern District of New York (Manhattan). he is in china. what is the downside to not paying? what is the upside to paying?
Am guessing if you pay, less jail time. It is funny, so many think they are clever and will never get caught. I am guessing if you going to thieve for a living, you have to be able to back test this out so you don't get caught. China have often given out heavy jail time for just writing your opinions. http://vr-zone.com/articles/chinese...prison-for-stealing-a-mobile-phone/16521.html
How the heck did a citizen of China get a job at Goldman doing such ? Obviously there's more to the story. Regardless, I doubt he'll be able to get another job in the U.S. or China if he refuses to pay the fines and do any other penalties (jail time). Also, for the SEC to be able to freeze his account assets...that implies his account isn't in China or Shanghai were he currently resides. Had Han done such in China to a Chinese firm...they would have executed him by now because securities fraud in China in the past has resulted in execution...white collar crime in that country has severe consequences and many times the death penalty. I think like +30 people have been executed in the past 10 years for white collar crimes.