John Kinnucan, the expert-networking firm founder whose public refusal of an FBI request to wear a wire presaged a dozen insider-trading arrests, said he expects to be charged himself.
Kinnucan, who runs Broadband Research LLC in Portland,Oregon, may have good reason to fear the worst. Federal prosecutors in New York disclosed in court papers that they had a court-authorized wiretap on his mobile phone in connection with their case against Donald Longueuil, a former SAC Capital Advisors LP portfolio manager who pleaded guilty to insider-trading charges on April 28 in Manhattan federal court.
Walter Shimoon, a former Flextronics International Ltd. (FLEX)executive who pleaded guilty July 5 in federal court in New York, said during his plea hearing that he had given Kinnucan confidential nonpublic information about his own company, as well as OmniVision Technologies Inc. (OVTI), Apple Inc. (AAPL) and Cisco Systems Inc. (CSCO)
“Am I a target? Yeah, absolutely,” Kinnucan said in a telephone interview. “There’s a saying that the government indicts who they investigate, so I have always assumed that I was a target.”