Prosecutors in the criminal trial of former
Shon Manasco, the BoA executive, said Sihpol took in slightly less than $700,000 in compensation in 2003, his last year on the job. That compared with roughly $500,000 in 2002 and $165,000 in 2001, Manasco told the court.
Sihpol, 37, is accused of helping Canary engage in market timing and late trading, which ultimately cost Canary $40 million in fines in order to settle charges with regulators.
Bank of America paid $675 million to settle its own fraud charges, the largest fund settlement to date, leaving Sihpol as the lone individual facing criminal charges for what transpired. If convicted, he faces up to 30 years in prison.
The defense team, led by Evan Stewart, a partner at Brown Raysman, has argued that Sihpol was a inexperienced broker who wasn't well versed in mutual fund trading and had to clear all new agreements and transactions through his superiors.
Manasco testified, however, that Sihpol became licensed to buy and sell securities in 1994 and worked at a number of financial services firms including Dean Witter, Lehman Brothers and CIBC, before joining BoA in late 2000.
Stewart is petitioning the judge to dismiss some of the charges against Sihpol including destroying business records. The defense begins trying its case today.
