Howard brings out the greed in sleezy money man

The former president of the accounting firm that manages Howard Stern's tax and financial affairs pleaded guilty yesterday to illegal insider trading in shares of Sirius Satellite Radio after learning that Mr. Stern was contemplating a move to the satellite radio company. The eventual decision by Mr. Stern to jump to satellite - and with the promise that he would bring along his huge audience - prompted a 16 percent surge in the shares of Sirius on Oct. 6, 2004, when the deal was announced. Two weeks earlier, Gary Herwitz, the former president of the accounting firm, Mahoney Cohen & Company, had learned from the chief executive of his firm that Mr. Stern was in negotiations, according to a related Securities and Exchange Commission complaint. Mr. Herwitz was advised to keep the information confidential, the complaint says. Nonetheless, Mr. Herwitz bought 25,000 shares of Sirius stock on Sept. 30, 2004, at $3.19 a share. The stock closed on Oct. 6 at $3.87. Mr. Herwitz, 50, an accountant who resigned in June from Mahoney & Cohen after 25 years with the firm, faces as much as 10 to 16 months in prison when he is sentenced on March 17. I wonder if he will stay in Martha's old prison digs? [NYT]