This Day in Wall Street History, 1986: Boesky banned from Wall St.

Until 1986, Ivan Boesky was one of wealthiest and most successful figures on Wall Street. But, after November 14, 1986, his name was inextricably linked with the scandal and corruption that engulfed the industry during the 1980s. Indeed, on this day, Boesky consented to a stern settlement on charges that he had engaged in insider trading. Specifically, he and Wall Street veteran Dennis B. Levine had been involved in an improper trade relationship: Levine furnished tips and information that Boesky then used to make big-money trades. In return, Boesky paid Levine a percentage of the profits from these trades. The union proved to be quite lucrative, as Boesky reeled-in roughly $50 million from illegal trades. But, when the Securities and Exchange Commission started probing into Levine's affairs, he wilted under the heat and handed over his partner to the authorities. The ensuing settlement called for Boesky to return his illegally gained profits to the SEC, as well as pay a $50 million fine. Along with emptying his once-considerable coffers, the sentence also banned Boesky from the securities industry and called for him to serve a maximum of five years in prison. 

source: www.history.com