Securities: Ex-Morgan Stanley Analyst Arrested

US prosecutors arrested Jennifer Wang and her husband Ruben Chen for misusing non-public information about pending merger deals. Wang worked as a Morgan Stanley analyst. The arrests of Wang and Chen occurred the same day as a former Morgan Stanley compliance lawyer and her husband pleaded guilty to having leaked confidential merger information.

Ex-Morgan Stanley Analyst Arrested

Wang and Chen, a former ING hedge fund analyst, made more than $600,000 by illegally trading the securities of three companies. Prosecutors say that Wang and Chen conducted their trading in an account that was hidden from their employers. David Spears, Wang and Chen's attorney, said that the couple would plead not guilty. Morgan Stanley said of the case: "The alleged wrongdoing by a former employee of our firm is an egregious violation of Morgan Stanley’s values and policies. We fully support and will provide every assistant to the government’s prosecution of insider trading by those who take personal advantage of the trust of our clients and the firm.”