Ex-NYSE trader found not guilty of fraud

19 September 2006

A former trader on the New York Stock Exchange (NYSE) has been cleared of security fraud charges.

A jury of ten women and two men in Manhattan acquitted Richard Volpe, a former employee of Van der Moolen Specialists USA.

The 47-year-old was found not guilty by the US District Court of two counts of securities fraud and making improper trades.

Mr Volpe, a floor official between 1996 and 2002, and 14 other traders at the NYSE were accused of breaking exchange rules.

The former broker could have been jailed for up to 20 years over the charges, which related to allegations that he was involved in improper trading around customer orders on the floor of the NYSE.

Mr Volpe stringently denied ordering employees to carry out improper trading and claimed during his trial that clerks had carried out securities fraud without his knowledge.

A jury acquitted former Van der Moolen specialist Robert A Scavone Jr of securities fraud last month.

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