Western Asset Manager Pleads Guilty in SEC Probe Over $600M Scheme

Kenneth Leech, former co-CIO of Wamco at Western Asset Management, pleaded guilty to obstructing an SEC investigation related to a $600 million cherry-picking scheme. This plea comes as he avoids a trial that was scheduled to begin soon. Prosecutors indicated that Leech provided false testimony during SEC proceedings in March 2024. Following the investigation, Western Asset agreed to pay a $100 million civil penalty to the SEC, and as of March 2026, managed approximately $229 billion in assets, highlighting the company's significant size in the market.