A former Goldman Sachs Group banker is accused of passing on confidential stock information to a friend in insider trading cases brought by US federal prosecutors against a total of nine people, including a former member of Congress and an FBI trainee.
In the case of Brijesh Goel, 37, who worked at Goldman Sachs in New York from 2013 to about 2021, eventually rising to the position of vice chairman, the charge involves confidential emails he received from its Equity Committee bank regarding possible mergers.
According to the indictment, Goel passed confidential information to an employee of another New York bank, who was appropriately placed in stocks, and the two shared the profits.
Prosecutors did not name Goel’s former employer, but people with knowledge of the matter told Bloomberg that Goel worked for Goldman.
In one instance, when Goel received an email about a potential takeover target for EQT Partners, he texted his friend saying “let’s play Squash after work” and when they met suggested he buy options on the target company’s stock.
The next day he asked his friend via text: “Did you reserve the pitch?”, which prosecutors claim was his “coded way of asking” if he had bought the options.
According to court documents, Goel’s informant recorded meetings they had last month in which they discussed fine-tuning the story they would tell authorities and deleting messages related to their plan.
Source: Capital
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