Hedge fund billionaire ‘to escape charges’

Billionaire hedge fund boss Steve Cohen is likely to escape criminal charges over one of the biggest cases of alleged insider dealing as US prosecutors fail to come up with enough evidence against him before a deadline at the end of this month.

The case against Mr Cohen, who runs the $15bn (£10bn) SAC Capital Advisors, followed charges against one of the firm’s fund managers, Mathew Martoma, who was charged in November last year. He is accused of trading in two drug companies’ shares on the basis of information given to him by a doctor involved in clinical trials.

SAC paid a record $602m to settle a civil case relating to Mr Martoma’s trading which took place almost five years ago.

That means Mr Cohen could claim the five-year statute of limitations if he is not charged by 29 July.