Feeds

IBMer blames mistress for making him mis-talk

Hedge fund hottie played him like a fish

The essential guide to IT transformation

Robert Moffat, once tipped for the top job at IBM, has blamed his mistress for encouraging him to give her information which she used for insider dealing.

He is facing securities fraud and conspiracy charges, and prosecutors are asking for a six month prison sentence.

But Moffat's lawyers, speaking in mitigation, said Danielle Chiesi encouraged pillow talk and Moffat was showing off to her and did not profit from the information he provided. They also said he did not know Chiesi was using the information to trade.

In a letter to the court Moffat said his crimes were not "driven by greed or the desire to profit", but that he wanted to "appear important and knowledgeable to show Ms. Chiesi that I was 'in the know' about important matters", AP reports.

Moffat, who has already pleaded guilty, has previously said the worst loss of the episode was his reputation. He ran Big Blue's PC division, and was once considered next-in-line for chief executive or chairman of IBM.

44-year old Chiesi was an analyst for hedge fund New Castle and has pleaded not guilty to offences which could carry a 155-year sentence. She is being tried separately to Galleon Group founder Raj Rajaratnam.

The case centres on information connected to AMD's decision to spin off its chip manufacturing business, IBM's quarterly results and Sun's results during a period when IBM was considering buying the firm.

Some 21 people, including hedgies and Intel and McKinsey execs are facing charges relating to the scandal. ®

Next gen security for virtualised datacentres

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Facebook to let stalkers unearth buried posts with mobe search
Prepare to HAUNT your pal's back catalogue
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?