CFO.com Magazine – Morgan Stanley chief executive officer John Mack will talk to the Securities and Exchange Commission regarding its investigation into possible insider trading at hedge fund Pequot Capital Management Inc., according to published reports.
“Yesterday, the SEC contacted John Mack and asked that he be interviewed regarding the hedge-fund matter that has been widely covered by the media recently,” Morgan Stanley spokesman James Badenhausen said in an E-mail statement, according to Reuters. “John immediately responded that he is happy to meet with the commission staff, and he welcomes the opportunity to put to rest any issues surrounding this matter.”
Last month, former SEC investigator Gary Aguirre testified before the Senate Judiciary Committee that senior SEC officials stopped a probe of Pequot because one of the subjects of theinvestigation “had powerful political connections…at the highest level.” That subject was reportedly Mack.
