Insider-trading investigation involving Capitol Hill staff and Medicare policy heats up

The Wall Street Journal reports that prosecutors have issued grand jury subpoenas for evidence related to whether congressional staffers provided advance information to stock traders regarding a change in health care policy.

The Wall Street Journal: House Panel Is Subpoenaed As Trading Probe Heats Up
Prosecutors are gathering evidence for a grand-jury probe into whether congressional staff helped tip Wall Street traders to a change in health-care policy, an indication the long-running investigation has entered a more serious phase. Public documents show federal law-enforcement officials and the Securities and Exchange Commission are seeking records and other evidence from the House Ways and Means Committee and a top congressional health-care aide, Brian Sutter, staff director of the committee's health-care subpanel (Mullins and Ackerman, 6/18).

Reuters: Officials Probe Possible Insider Trader Over U.S. Medicare Changes
Federal authorities and the U.S. Securities and Exchange Commission are seeking evidence for a grand jury investigation into whether congressional staff provided tips to Wall Street traders about a change in healthcare policy, the Wall Street Journal reported on Wednesday. The SEC sent subpoenas to the House Ways and Means Committee and Brian Sutter, staff director of the committee's healthcare subcommittee, the Journal said. The Justice Department also has subpoenaed Sutter to testify to before a grand jury in New York (6/18).