An international hedge fund management company has pleaded guilty in federal court in New Jersey in an insider-trading case and agreed to forfeit $16 million in illicit gains.

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Tiger Asia Management and its hedge funds also agreed to pay $44 million to settle civil charges of illegal trading brought by the Securities and Exchange Commission.

Sung Kook "Bill" Hwang pleaded guilty Wednesday on behalf of his company, Tiger Asia, to one count of wire fraud. Tiger Asia was placed on one year probation as well as ordered to give up its criminal proceeds.

Tiger Asia managed two separate hedge funds specializing in Asian-trading equities. They were accused of using confidential information to trade shares for huge profits.

The SEC also charged the head trader for the hedge funds.

 

Copyright 2012 The Associated Press