“If you find yourself chewing the memory card in your cellphone to destroy any record of your misconduct, something has gone terribly wrong with your character.”–Robert S. Khuzami, S.E.C. enforcement director.
[ Wall Street trader Zvi Goffer was arrested today and accused of being the mastermind of the latest insider-trading scandal, a tipping-and-trading ring that involved confidential sources from many places that should know better, like the prominent law firm of Ropes and Gray. Arthur J. Cutillo, a lawyer at the firm, was accused of sharing secret information with Goffer on deals the law firm was handling for clients. Prosecutors say, according to the New York Times story, Goffer insisted his confederates communicate through disposable cellphones, just like drug dealers.
When the illegal trading was complete, Goffer destroyed his phone records by biting the phone’s SIM card in half with his teeth.]