w*****h
发帖数: 423 | 1 Manhattan District Attorney Cyrus Vance Jr., has accused a former hedge fund
analyst of stealing documents that detailed the methods and application of
two trading models from a major New York hedge fund firm that specializes in
quantitative trading.
Kang Gao, a 28-year-old who until recently worked as a quantitative analyst
at Two Sigma Investments, was arrested last week and charged by the
Manhattan District Attorney of felony offenses, including computer trespass,
criminal possession of computer related material and unauthorized use of
secret scientific material. Gao admitted to Matthew Winters, a senior
investigator of the New York County District Attorney’s Office, that he had
emailed himself models that he was not permitted to view, according to a
felony complaint filed in New York state court in Manhattan. Gao emailed to
his personal email account copies of documents describing the trading models
in late January and emailed a confidential presentation outlining research
and market overviews in August, the court document says.
Gao pleaded not guilty to the charges, according to his lawyer, Benjamin Yu.
“My client indicated he is innocent of all charges and any incidents had
no nefarious purposes,” Yu said.
Two Sigma, which manages some $14 billion, was founded in 2001 by John
Overdeck and David Siegel, former high-level employees of hedge fund firm D.
E. Shaw & Co. Gao, a Chinese national who came to the U.S. in 2006 to study
at the Massachusetts Institute of Technology, started working for Two Sigma
in 2010 as a computer system analyst. He was paid $547,000 in base salary
and bonuses last year, according to a court document filed by Two Sigma. Gao
resigned from Two Sigma on February 5. Two days later, Two Sigma notified
the Manhattan District Attorney’s Office of “unlawful actions,” according
to a civil complaint Two Sigma filed against Gao that says Two Sigma’s
trading models “are the lifeblood of its business.”
Quantitative trading is a secretive and potentially lucrative corner of the
rich hedge fund world, producing some of the industry’s most successful
firms, like Renaissance Technologies and D.E. Shaw. Two Sigma has emerged as
one of the relatively newer successful quant funds. Firms like these go to
extraordinary lengths to guard their trading secrets and Two Sigma says in a
court document that it employs sophisticated masking programs and firewalls
, and closely monitors its employees’ computer usage.
But the overwhelming efforts by financial firms and government prosecutors
to protect mathematical trading models has at times appeared overzealous to
some, an issue with which Vance is sometimes associated. Vance is currently
prosecuting Sergey Aleynikov, a computer programmer whose federal conviction
for stealing code from Goldman Sachs was overturned by a federal appeals
court in 2012. Vance then arrested Aleynikov again and charged him with two
felonies, a criminal prosecution that has survived Aleynikov’s efforts to
get the case dismissed.
According to the 21-page civil complaint filed by Two Sigma against Gao in
New York state court, the hedge fund learned in early February that Gao had
misappropriated confidential information as part of “an apparent plan to
take that information to a new employer, either one of Two Sigma’s
competitors in the United Kingdom, or to start his own business in China.”
Gao accessed computer files created by other Two Sigma employees and used “
decompiler” programs to view models that had been carefully hidden from
employees, the complaint filed by Two Sigma says. “Two Sigma gathered such
powerful evidence of Gao’s pervasive misconduct that he has been arrested,
and he has admitted to improperly accessing and using its intellectual
property,” Two Sigma says.
Two Sigma claims it first became suspicious of Gao in June 2013, when a
senior managing director at the hedge fund firm confronted Gao about his use
of a decompiler program to view code that did not relate to any of his
models and that he had no authorization to access. Two Sigma claims Gao
admitted to viewing the models and indicated he was only motivated by
curiosity. But Two Sigma claims Gao continued viewing the mathematical
models for hours and emailed data to his personal email account. Two things
made Two Sigma suspicious about Gao in January, the hedge fund firm’s
complaint against him says. First, Gao contacted a Two Sigma research
engineer and asked for help using a decompiler program. Second, Gao flew to
the U.K. for a job interview with GSA Capital, a competing hedge fund. Two
Sigma also obtained a copy of a letter Gao wrote to U.S. immigration
officials, concerning his intention to start a new company in China.
Gao is currently being held in the Manhattan Detention Complex and a New
York state judge has set bail at $500,000 with a $150,000 cash alternative.
Gao was also ordered to surrender his passport and shut down his gmail
account, a court document says. | y***u
发帖数: 7039 | 2 感觉是没处理好关系，遭到报复。
fund
of
in
analyst
trespass,
had
【在 w*****h 的大作中提到】
: Manhattan District Attorney Cyrus Vance Jr., has accused a former hedge fund
: analyst of stealing documents that detailed the methods and application of
: two trading models from a major New York hedge fund firm that specializes in
: quantitative trading.
: Kang Gao, a 28-year-old who until recently worked as a quantitative analyst
: at Two Sigma Investments, was arrested last week and charged by the
: Manhattan District Attorney of felony offenses, including computer trespass,
: criminal possession of computer related material and unauthorized use of
: secret scientific material. Gao admitted to Matthew Winters, a senior
: investigator of the New York County District Attorney’s Office, that he had
|
|
