Business not sex lead to insider trading

A red-faced Big Blue executive, who admitted insider trading, said that his main motivation for having an affair with the pretty hedge fund trader at the centre of the scandal was cash not the sex.

Robert Moffat told Fortune magazine that his affair with former hedge fund trader Danielle Chiesi was money related and not motivated by sex.  From what we know about IBM we believe him.

Moffat spent 31 years with IBM before his arrest in October 2009 so the suit content in his blood stream must have been as high as his job title was long.

While there were  allegations of a physical relationship between Moffat and Chiesi he said that everyone wanted to “make this about sex”.

“Danielle had an extensive network of business people. And she added clarity about what was going on in the business world. … I know in my heart what this relationship was about: clarity in the business environment.”

He was arrested after a federal wiretap heard him giving information to Chiesi, who at the time was a portfolio manager at hedge fund New Castle.

Moffat was senior vice president and group executive of IBM’s $20 billion Systems and Technology Group, and was talking to Chiesi about AMD’ plans to spin off its chip manufacturing business in a joint deal with an Abu Dhabi investment company to create Globalfoundries.

He also gave Chiesi information about IBM finances, Lenovo and IBM’s plans to buy Sun.