A former McKinsey partner has plead guilty to securities fraud for making bets ahead of the GreenSky acquisition.
Last month, Dikshit was charged with insider trading. He was accused of placing out-of-the money call option bets two days before the acquisition was announced in order to make more money.
The United States Attorney for the Southern District said that just a month after he was charged, Puneet Dikshit admitted in court that he used his access to nonpublic information about a pending acquisition of GreenSky, Inc., to trade in GreenSky call options.
The maximum prison sentence for securities fraud is 20 years. He will be sentenced on March 30.
The case was handled by the Justice Department's securities and commodities fraud task force with help from the Federal Bureau of Investigation and the Securities and Exchange Commission.
CNBC was the first to report that there were suspicious trades in GreenSky options.
The story is evolving. You can check back for updates.
