MANHATTAN (CN) – Another “expert networking” consultant pleaded guilty Tuesday to inside trading charges. Don Chu, formerly a consultant for Primary Global Research of Mountain View, Calif., admitted he helped pass confidential information about publicly traded company’s to his company’s hedge fund clients.
Don Ching Trang Chu, 57, pleaded guilty to conspiracy to commit securities fraud and conspiracy to commit wire fraud. He was arrested in November and vowed then that he was innocent.
Chu’s plea is one far-flung result of the government’s investigation of Raj Rajaratnam, the billionaire hedge fund trader whose successful prosecution the government called the largest inside trading case in history.
Chu faces up to 25 years in prison at his Sept. 7 sentencing, plus forfeiture and fines.