Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Clayton Peterson Avoids Jail Time for Insider Trading

H. Clayton Peterson, a former director at Mariner Energy (ME), was sentenced on Tuesday to two years probation and three months house arrest after pleading guilty to insider trading.

Insider Trading 3

Peterson’s Insider Trading Tip Spread

Peterson committed insider trading when he tipped his son, Drew Peterson, off that Mariner Energy was going to be acquired by Apache Corporation (APA) His son had made $150,000 on the tip. A sentencing date for Drew has not been set. Drew Peterson passed the news of Apache’s takeover of Mariner to the CEO of a Denver-based hedge fund, who in turn passed the tip to family and friends, netting more than $5 million for his fund and relations. According to the New York Times, “the criminal complaint does not identify the hedge fund manager, referring to him only as a co-conspirator. But according to people involved with the case, he is Bo K. Brownstein, head of Big 5 Asset Management, which is based in Denver, and a former banker at Credit Suisse in New York.”

Peterson Gets a Break and Receives a Lighter Sentence

Federal sentencing guidelines required that Peterson serve 12 to 18 months in jail. Instead, Judge Robert A. Patterson of Federal District Court in Manhattan, opted to go with the longer probationary period. Peterson’s probation officer’s recommendation also recommended that Peterson not serve jail time because he had admitted his guilt and had led an exemplary life otherwise. Peterson had spent 33 years at Arthur Andersen, the accounting firm embroiled in the Enron scandal. Peterson also served on the boards of the private company Re/Max International and Lone Pine Resources (LPR) before resigning in the wake of the insider trading charges.

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!