On December 19, 2017, a former broker of two New York-based investment banking firms pled guilty to one count of violating the Travel Act for accepting between $550,000 and $1.5 million in cash kickbacks in exchange for arranging more favorable allocations from initial and secondary stock offerings.  According to a criminal information filed in the U.S. District Court for the District of New Jersey, New York resident Brian M. Hirsch accepted numerous kickbacks from three unnamed co-conspirators between January 2012 and November 2016 that were based on a percentage of the profits these three individuals ultimately made from selling the shares he allocated to them.  Authorities maintain that Hirsch took steps to conceal the kickbacks and further made numerous false certifications and misrepresentations to his employers that he had complied with their respective policies on conflicts of interest and policies prohibiting quid pro quo arrangements with firm clients.  Hirsch faces up to five years in prison and a $250,000 fine upon sentencing, which is scheduled for April 11, 2018 before U.S. District Judge Michael A. Shipp.  U.S. v. Hirsch, 17-cr-00541 (D.N.J.)

DOJ Press Release