FBI, SEC probe trading of Carl Icahn, Phil Mickelson, Billy Walters

“Federal investigators are pursuing a major insider-trading probe involving finance, gambling and sports, examining the trading of investor Carl Icahn, golfer Phil Mickelson and Las Vegas bettor William ‘Billy’ Walters,” Susan Pulliam and Michael Rothfeld report for The Wall Street Journal.

“The Federal Bureau of Investigation and the Securities and Exchange Commission are examining whether Mr. Mickelson and Mr. Walters traded illicitly on nonpublic information from Mr. Icahn about his investments in public companies, people briefed on the probe said,” Pulliam and Rothfeld report. “Investigators are examining whether over the past three years Mr. Icahn tipped Mr. Walters—famous in Las Vegas for his sports-betting acumen—about potentially market-moving investments by Mr. Icahn’s company. The FBI and SEC are examining whether Mr. Walters on at least one occasion passed a tip on to Mr. Mickelson, these people said, and are studying the two men’s trading patterns.”

“‘We do not know of any investigation,’ Mr. Icahn said on Friday. ‘We are always very careful to observe all legal requirements in all of our activities.’ The suggestion that he was involved in improper trading, he said, was ‘inflammatory and speculative,'” Pulliam and Rothfeld report. “‘Phil is not the target of any investigation. Period,’ said a lawyer for Mr. Mickelson, Glenn Cohen, on Friday, adding that an FBI agent had told him Mr. Mickelson wasn’t a target. The FBI declined to comment on Mr. Cohen’s statement.”

Pulliam and Rothfeld report, “Two FBI agents approached Mr. Mickelson on Thursday after he finished a round of golf at the Memorial Tournament in Dublin, Ohio, seeking to speak with him in connection with the investigation, a person familiar with the situation said. Mr. Mickelson referred them to his attorney, this person said. When asked to comment about the investigation, Mr. Walters, reached by phone on Friday, said, ‘I don’t have any comment about anything,” and then hung up.'”

Read more in the full article here.

[Thanks to MacDailyNews Reader “finelinebob” for the heads up.]

9 Comments

    1. Icahn won’t get hurt. If this happened he probably didn’t even know about it. He just probably spoke a little too freely on the golf course and Walters would have picked up on it. Whatever money would be involved would be chickenfeed to Icahn.

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