Hwang Seeks Dismissal of Charges For ‘Deceitful’ US Conduct

In the early days of the government's probe, prosecutors engaged in "deceitful" conduct.

In a motion to dismiss, his lawyer said that he was tricked into assisting the government in a number of meetings with investigators who didn't tell him when they decided he was more than just a subject of the probe. He is going to go on trial in October.

The government made its decision long before the sessions in which it elicited information from Mr. Hwang and his counsel.

They have pleaded not guilty to the charges. The collapse of Archegos, which at one point held market positions valued at $160 billion, led to the arrest of Hwang. If they are found guilty, the two will be in prison for decades.

The US Attorney's Office in Manhattan didn't want to speak to the press.

The first meeting with the US Attorney's Office took place in Manhattan. He was questioned intensely about his selection of stocks, his use of direct stock purchases instead of swaps and other aspects of his trading strategy in sessions that lasted for about six hours with two breaks.

When the Government was not honest with the defense, there was a time when they only continued. The Government now has insight into the defense that it shouldn't.

According to prosecutors, Halligan made false and misleading statements about Archegos's portfolio to large investment banks, resulting in steep losses for them. Banks lost $10 billion because of the fall of Archegos.

According to the filing, the government tried to criminalize entire lawful activity, including swap transactions that were fully executed according to their negotiated terms.

The government wants to put on trial the securities markets and the rules that have been in place for a long time, according to the Indictment.

Bob Van Voris and Sridhar Natarajan aided in the project.