A Nuveen LLC trader was arrested and charged with insider trading for allegedly tipping off another person about the asset management firm's trades in a scheme that netted them tens of millions of dollars.
Lawrence Billimek was indicted Wednesday by Manhattan federal prosecutors along with his alleged tippee, a retired financial professional and day trader named Alan Williams. The two men were also sued by the US Securities and Exchange Commission, which said the proceeds of the scheme were $47 million.
Billimek, 51, was arrested in Texas on Wednesday while Williams, 77, was arrested in Oregon.
Both men are charged with conspiracy, securities fraud, and wire fraud, which carry a maximum of 45 years in prison, prosecutors said. The government is also seeking forfeiture of more than $40.5 million and properties in Idaho, Texas, Oregon and Hawaii.
Billimek appeared before a judge in Austin and was released pending an appearance in federal court in New York next week, according to court filings. He didn't immediately respond to a request for comment.
Williams appeared remotely before a judge in Portland from jail. An attorney who represented him on Wednesday, Ryan Costello, didn't immediately respond to a phone call seeking comment.
A spokesperson for Nuveen, a unit of TIAA, said in a statement that the firm learned of the allegations against Billimek on Wednesday.
