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July 1, 2022

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NY man sentenced in $37M insider trading scheme

The Columbian

NEWARK, N.J. (AP) — The third and final defendant in a long-running insider trading scheme has been sentenced to prison.

A federal judge in Newark sentenced former mortgage broker Kenneth Robinson to 30 months on Tuesday for securities fraud and conspiracy.

A day earlier, Robinson’s two co-conspirators were sentenced to long prison terms.

Former attorney Matthew Kluger received 12 years, the longest sentence ever handed down in an insider trading case. Former stock trader Garrett Bauer received nine years.

The three men admitted conspiring from the mid-1990s to use information on company mergers provided by Kluger. The trio made an estimated $37 million between 2006 and 2011.

Robinson secretly recorded conversations with Kluger and Bauer for the government after FBI agents searched his home in early 2011.

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