May 31, 2014 2:12 am

Icahn, Mickelson and Walters ‘face probe’


May 30 (Reuters) The US Federal Bureau of Investigation and the Securities and Exchange Commission are investigating possible insider trading involving billionaire investor Carl Icahn, golfer Phil Mickelson and Las Vegas gambler William Walters, a source familiar with the matter said, Reuters reported on Friday.

Federal investigators are looking into whether Mr Mickelson and Mr Walters may have traded illegally on private information provided by Mr Icahn about his investments in public corporations, the source told Reuters, confirming a report by the Wall Street Journal on Friday.


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None of the three men has been accused of any wrong doing.

Mr Icahn, a legendary activist investor, told Reuters that he was unaware of any investigation and said that his firm always followed the law. He acknowledged a business relationship with Walters but said that he did not know Mickelson personally.

Mr Mickelson said in a statement, “I have done absolutely nothing wrong. I have cooperated with the government in this investigation and will continue to do so.”

Mr Walters was not immediately available for comment.

The investigation centres on suspicious trades in Clorox Co options days before Mr Icahn announced a bid to acquire the company in 2011, according to the Journal, citing people briefed on the probe.

Mr Icahn had accumulated a 9.1 per cent stake in Clorox in February 2011. In July, the activist investor made an offer for the company that valued it at above $10bn and sent its stock soaring.

Investigators were also looking into trades that Mr Mickelson and Mr Walters made related to Dean Foods, the Journal cited the people as saying.

© Reuters Limited. Click for restrictions


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