A trader at a Canada-based hedge fund was arrested and charged Friday by U.S. authorities for allegedly misusing information about customer orders for personal gain.
The U.S. Department of Justice charged Sean Wygovsky with both wire fraud and securities fraud tied to the front-running scheme. Also, the Securities and Exchange Commission charged Mr. Wygovsky with violating antifraud provisions of federal securities laws through the scheme, which lasted until as recently as April of this year and netted over $3.6 million in illicit gains.
Mr. Wygovsky was arrested in Austin, Texas, on Friday morning.
Russell Duncan, Mr. Wygovsky’s attorney, said that he hasn’t had a chance to review the charge papers or meet with his client, but that they would respond in court after he has done that.
While the agencies didn’t name the firm that employed Mr. Wygovsky, a LinkedIn profile for Sean Wygovsky lists him as a senior analyst and trader at Toronto-based Polar Asset Management Partners Inc. Polar Asset didn’t respond to requests for comment.