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To: Oeconomicus who wrote (145498)	8/14/2002 4:09:54 PM
From: H James Morris	Read Replies (1) \| Respond to of 164684

Reuters, 08.14.02, 4:00 PM ET By Gail Appleson NEW YORK (Reuters) - An Israeli citizen was extradited to the United States on Wednesday to face charges he took part in an insider trading scheme that used nonpublic information stolen from Goldman Sachs and Credit Suisse First Boston, a unit of Credit Suisse Group . Michael Akva, 36, who had lived in the Queens borough of New York City at the time of the alleged scheme, jumped bail and fled to Israel in September 2000 to escape prosecution, according to prosecutors. Akva entered Israel using a German passport under a different name but was arrested by Israeli authorities in April 2001. Last month the Supreme Court of Israel ordered the extradition of Akva to the United States. He is one of the first fugitives to be returned to this country under an Israeli law enacted in 1999 that provides for the extradition of Israeli citizens. He was indicted by a Manhattan federal grand jury in 2000 of one count of conspiracy to commit insider trading and 12 counts of insider trading. The conspiracy count carries a maximum sentence of five years in prison and a $250,000 fine. The insider trading charges each carry a maximum sentence of 10 years in prison and a $1 million fine. The Securities and Exchange Commission also filed a civil securities fraud suit against Akva in March 2000. According to the indictment, Akva participated in the scheme from early 1998 through January 2000. He allegedly received inside information on mergers and acquisitions from John Freeman, a word processor who had worked at the two investment banks. Prosecutors said that Akva paid Freeman about $8,000 to $10,000 in cash for the information and used it as a basis for at least seven trades. Akva made $104,000 in illegal profits, according to the charges. The indictment further alleged in November 1998 Akva recruited Robert Fricker to join the scheme. Akva and Freeman allegedly agreed to give inside tips to Fricker with the understanding he would trade on the information and share his profits with the two men. Fricker made about $1 million in illegal profits, prosecutors said. Fricker was convicted of conspiracy and insider trading charges after a trial last year and was sentenced to serve 46 months in prison. Freeman pleaded guilty to conspiracy and insider trading charges in 2000 and has not yet been sentenced. In addition to Akva, Fricker and Freeman, 16 other individuals have been charged in connection with the investigation. All but Akva have either pleaded guilty or been convicted at trial. Copyright 2002, Reuters News Service