fbi probes high-frequency trading for crimes

FBI probes high-frequency trading for crimes
March 31, 2014, 6:16 p.m. EDT
(source:http://www.marketwatch.com/story/fbi-probes-high-frequency-trading-for-crimes-2014-03-31)
By Sital S. Patel

NEW YORK (MarketWatch) -- The Federal Bureau of Investigation is looking at possible criminal wrongdoing when it comes to high-frequency trading, according to an FBI spokesperson. "We are looking at possible violation of law for securities fraud, wire fraud and insider trading," said an FBI spokesperson. The investigation has been going on for several months into the possible front-running of trades, which is illegal. The controversial trading practice has come under scrutiny in recent weeks, with the release of the new book by Michael Lewis, "Flash Boys" along with his "60 Minutes" interview which accuses HFTs of rigging the market and the New York Attorney General Eric Schneiderman calling HFTs as having an "unfair advantage" over regular investors. The probe was first reported in the FT.com.