The Securities and Exchange Commission settled charges on Tuesday with Visium Asset Management LP, a New York-based hedge fund advisory firm, for insider trading by its privately managed hedge funds and portfolio managers and inflating fund returns by mismarking assets values. The firm's CFO, Steven Ku, also agreed to settle charges that he failed to respond appropriately to red flags that should have alerted him to the asset mismarking. Visium agreed to settle the SEC's charges by disgorging illicit profits totaling more than $4.7 million plus interest and paying a penalty of more than $4.7 million.