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Official: 6 subpoenas in NY stock trade probe

Published on NewsOK Modified: April 16, 2014 at 5:32 pm •  Published: April 16, 2014

ALBANY, N.Y. (AP) — An official familiar with the investigation said the New York Attorney General's Office has issued subpoenas to six firms and sent a letter to another for details about split-second stock trading and any unfair advantages.

The official told The Associated Press Wednesday that the subpoenas went last week to trading firms including Chicago-based Jump Trading LLC and Chopper Trading LLC and Tower Research Capital in New York. The official spoke on condition of anonymity because he wasn't authorized to publicly discuss the subpoenas. He said he did not know the names of the other companies.

Jump Trading, Chopper Trading and Tower Research did not immediately respond to requests for comment.

Attorney General Eric Schneiderman has said advantages in computer hardware and placement enable some traders to get millisecond timing advances to make "rapid and often risk-free trades before the rest of the market can catch up."

His office, with authority to investigate securities fraud under New York's Martin Act, is seeking details about trading strategies and special arrangements with trading venues including exchanges and so-called "dark pools" for buying and selling securities.

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