Published On : Wed, Jun 22nd, 2016

Sanjay Valvani, accused of insider trading found dead

sanjay valvaniBrooklyn: Sanjay Valvani, the Visium Asset Management partner charged with insider trading last week, was found dead in an apparent suicide at his Brooklyn home.

New York City police were called to his home on Monday night, where they found a knife near his body. Valvani died after an apparent, self-inflicted slash to the neck, a spokeswoman said.

We mourn the tragic loss of Sanjay, a devoted father, husband and friend, Jacob Gottlieb, Visiums founder, said in a statement Tuesday.

The stunning development follows Valvanis arrest last week on insider trading charges, which led to Visiums decision to liquidate four of its hedge funds. Valvani, a top lieutenant of Gottliebs, reaped more than $32 million from trades in drug companies using secret tips, according to federal prosecutors. Valvanis lawyer said he was innocent of the charges.

At Visium, Valvani oversaw a portfolio of specialty-pharmaceutical stocks. His performance was so good that rivals at other hedge funds would question Visium employees at conferences about Valvanis confidence in his trades, a former colleague said. Valvani managed as much as $2 billion, including borrowed money, before he was put on leave in April.