Financial News reports: A former Morgan Stanley prime brokerage client service representative was charged this week in federal criminal court for conspiring to steal the bank’s list of hedge fund clients and rate charges.
According to the criminal complaint, Ronald Peteka, 41, left Morgan Stanley to work for an unnamed company in midtown Manhattan that negotiates fees that hedge funds pay to banks. While he was working at that company, it is alleged that Peteka sent Morgan Stanley’s client rate lists through his company’s e-mail server to his personal account five times between December and February.
Peteka walked out of the courtroom after pleading not guilty and was released on $35,000 bail, according to his attorney, Jason Pickholz.