Elizabeth Warren calls SEC’s settlement with hedge fund manager Steve Cohen a joke

Sen. Elizabeth Warren reignited her feud with Securities and Exchange Commission chair Mary Jo White — and this time she’s dragging billionaire hedgie Steven Cohen into the middle of it.

Warren (D-Ma.) on Thursday ripped into the SEC for allowing the former SAC Capital chieftain to start a new hedge fund firm just two months after he was barred from managing outside money until 2018.

Cohen’s move has made a “mockery of the SEC’s core mission to protect investors,” Warren wrote in an open letter to White.

In January, Cohen agreed to a two-year ban on managing outside money to resolve allegations of insider trading at his former firm. He didn’t admit to any wrongdoing as part of his agreement with the SEC.

SAC Capital had already paid $1.8 billion to settle civil and criminal charges tied to the long-running investigation. After the plea deal, Cohen converted SAC into an $11 billion “family office,” Point 72, which mostly manages his huge personal fortune.

Read on.

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