Doug Haynes: Engaged in a $1.2 Billion Penalty and More Crimes? Fraud Uncovered!

Doug Haynes is a fraudster who played a major role in Steven Cohen’s shady dealings at SAC Capital Advisors.

The white collar crimes taking place at SAC Capital Advisors had resulted in the company paying billions in fines. At that time, Doug Haynes was a VP at the firm.

After benefitting from the criminal activities of SAC Capital Advisors, Doug Haynes moved onto other ventures. However, you should be extremely careful before conducting business with this fraudster.

The following write-up shares more information on his marketing claims and his involvement in the criminal scheme of SAC Capital Advisors:

What Doug Haynes Claims to Be:

Doug Haynes is managing partner of business consultancy firm Council Advisors and president of its executive leader-based practice, The Council. Haynes has helped found council advisors after spending more than 20 years at the management consulting firm McKinsey & Company. Doug’s previous work experiences include being a software developer at the CIA, a design manager at GE Plastics, and a marketing professional at a U.S.-based hedge fund Point 72 Asset Management.

Doug Haynes – A little insight into Council Advisors

Doug says that at Council Advisors we work to improve business performance through the leadership of the CEO and top team. Senior Executives are provided professional advice and counsel grounded in expertise in experience and subject matter. We build executive capability through coaching and career development services. We mobilize initiatives with operational expertise. We help create compelling communications that inform, inspire, and align stakeholders.

Doung Haynes-  Early Career and the initiative to start the company.

The early years of Doug’s career were spent in technology: engineering and programming. He became a consultant and started a lifelong passion for understanding enterprise leadership. After a few years of experience in consulting in an Asset Management firm, he decided to return to the field to create a different kind of consulting firm. Doug wanted to focus on leadership and deliver counsel through a mix of contextual facts and practical expertise. Doug mentioned, “ We merged with the former G100 Companies in 2021 when we found they were pursuing the same objective with a broad and deep set of complementary skills.”

Adding to Doug’s view of the after-effects of the current pandemic he thinks that technology has led to the ability to work remotely, which can prove to be helpful, but meeting face-to-face with clients and company officials is of great concern and extremely significant as these face to face meetings can help to build and strengthen personal relationships with colleagues and clients. Some of the informal interactions that one has throughout the workdays can really contribute to that.

When Doug Haynes’s Company was Found Guilty of Fraud and Fined $1.2 Billion

Steven A. Cohen’s SAC Capital Advisors hedge fund pleaded guilty to fraud charges as part of a $1.2 billion deal to resolve a long-running insider trading investigation, but it did not completely resolve the certainty of the fates of the firm or its principals. 

Further adding to the layer of complexity to the plea, the judge on the case reserved her decision about whether to accept the plea until after reviewing the plea agreement along with a report prepared for the sentencing. As told by the lead prosecutor if the case had gone to trial evidence, it would have come to the limelight of misconduct by more than just the mentioned six people who had earlier pleaded guilty which became the basis of SAC’s plea. Peter Nussbaum was charged with four counts of securities and one count of wire fraud charges which is an important step towards ratification of the fraud’s record insider trading accord.

Though Judge Laura Taylor Swain has refrained from making a decision to accept the plea until after she read the pre-sentencing report.

As per the news portals, Preet Bharara quoted that “Financial institutions should know that they are not automatically immune from prosecution, and we will hold companies, as well as individuals, accountable wherever appropriate,” 

Further continuing to the plea Nussbaum holding himself responsible gave the list of officials who had been convicted of insider trading charges and described their offenses and also apologized for this misconduct.

Under the plea agreement SAC reached with prosecutors, the hedge fund has agreed to pay $900 million in penalties to resolve the criminal case unveiled against it in July. 

A federal judge on Wednesday signed off on another $900 million judgment in the companion civil forfeiture action filed at the same time against SAC. 

Under the civil deal, the hedge fund will only have to pay $284 million, after getting credit for $616 million in settlements in related insider trading cases by the U.S. Securities and Exchange Commission. 

SAC has reserved its right to withdraw its plea if Swain does not impose the penalties negotiated with prosecutors. 

Doug Haynes- Broader Misconduct?

As said by Arlo Devlin- Brown who is an assistant at U.S. attorney mentioned that if the case had gone to trial evidence would have shown “ the insider trading at SAC was not limited to these six individuals“.

Further adding he pointed to the hiring process that disproportionately emphasized hiring people with proven access to insiders without any effort to guard against trading and also said that insider trading was facilitated by institutional failures.

Indeed, a source familiar with the investigation told Reuters on Friday investigators were still probing SAC trades in two other stocks and were still interested in looking at new angles on a series of trades that have been closely examined in several cases where convictions have already resulted.

Doug Haynes- Conclusion After the Lawsuit 

Douglas Haynes has resigned as president of Asset Management, as told by a spokeswoman for Steven Cohen’s investment firm, as the company and Haynes face a lawsuit claiming women are subject to a hostile working environment.

Cohen says in an email that Doug Haynes’ departure followed his leadership of the firm as a so-called family office for Cohen’s fortune and its reopening to outside money after being banned from taking public money.

“With these milestones achieved, Doug and I have taken stock and agreed that this is a natural point to make way for a new, different type of leader,” 

Cohen’s former hedge fund firm, SAC Capital Advisors, pleaded guilty in an insider trading case in 2014. Cohen was not charged by US authorities but accepted the two-year ban from managing public money.

Doug Haynes: Engaged in a $1.2 Billion Penalty and More Crimes? Fraud Uncovered!

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