Birmingham Retirement and Relief System is suing hedge fund manager Steve Cohen and his firm SAC Capital Advisors for damages caused by alleged insider trading by one of its portfolio managers.
The complaint filed by the pension fund represents a class of investors that bought drugmaker Wyeth’s common stock in 2008, according to a Pensions & Investments article. An earlier eVestment article reported that Mathew Martoma, who worked at SAC Capital affiliate CR Intrinsic Partners, was charged by federal authorities in November for allegedly making over $250 million for the firm using insider information he received regarding Wyeth.
SAC agreed to pay approximately $612 million last month to settle insider trading charges filed by the Securities and Exchange Commission. The settlement is pending approval by a U.S. District Judge.
Based in Stamford, Conn., SAC has about $15 billion in assets under management. The pension fund manages about $908 million for employees.