Former MFS Mutual Fund Portfolio Manager Settles Insider Trading Charges

January 7, 2010

Steven E. Nothern of Scituate, Massachusetts, who had previously been found liable for insider trading by a federal jury, settled insider trading charges with the SEC.  He agreed to pay a civil penalty of $460,000. 


Northern has also agreed to be barred from association with any investment adviser, with the right to reapply after five years, in a separate administrative proceeding before the SEC.  He is a former Senior Vice President and manager of seven fixed income mutual funds for Massachusetts Financial Services Company.

In June 2009, a federal jury in Boston, Massachusetts found Nothern liable for insider trading when he purchased and tipped others to purchase U.S. Treasury 30-year bonds ahead of the October 31, 2001, Treasury Department announcement that it was suspending the future issuance of long bonds.

Click http://www.sec.gov/litigation/litreleases/2010/lr21389.htm to access the SEC release.


Categories

Enforcement Actions, Mutual Funds