CFTC Revokes Registrations of SAC Capital Advisors, LP and SAC Capital Advisors, LLC Based on Criminal Action

The CFTC announce that it filed a Notice of Intent to Revoke the Registrations of SAC Capital Advisors, LLC ("SAC LLC") and SAC Capital Advisors, LP ("SAC LP") due to their convictions of guilty pleas regarding felony charges of wire fraud.

The CFTC simultaneously issued an Opinion and an Order accepting the offer of settlement from SAC LLC and SAC LP and settling the action. The Order immediately revoked SAC LLC's registrations with the CFTC as a Commodity Trading Advisor ("CTA") and Commodity Pool Operator ("CPO"). Additionally, the CFTC ordered SAC Capital Management, an affiliate of SAC LLC and SAC LP, to cease immediately any activity requiring registration as a CPO or CTA.

According to the Notice of Intent to Revoke the Registrations, SAC LLC and SAC LP are subject to statutory disqualification based on their convictions upon guilty pleas to the felonies of wire fraud in the criminal action United States of America v. SAC Capital Advisors.

The criminal charges against SAC Capital Advisors allege that, over the course of several years, multiple employees and agents of those entities obtained material, nonpublic information relating to publicly traded companies and executed, or caused the funds managed by those entities to execute, securities trades based on that information.

See: SAC Capital Advisors, LP Notice; SAC Capital Advisors, LP Order.