Wilmette Man Charged with Perjury in Investment Trial

A 41-year-old Wilmette resident, being sued by his former employer, Citadel Investment Group, was indicted on two counts of perjury Wednesday, according to a press release from the Cook County Sheriff's Office.

Mikhail Malyshev was charged in July 2009 with allegedly stealing trade secrets and violating a noncompete covenant after he left Citadel. Malyshev had worked for the global financial institute's high frequency trading strategies for six years.

One month after his departure, Malyshev formed his own company, Teza Technologies LLC, in February 2009.

Following the charges, Malyshev and Citadel entered a protective order, agreeing not to delete electronic information in their possession, according to the county's Sheriff's Office.

Malyshev told the court while giving a deposition that he had run a "scrubbing" software on his home computers "for a few minutes" to delete pornographic images. In addition, Malyshev denied deleting "active files" from the computers in his affidavit, 2009 deposition and later in court.

However, computer forensic experts later determined that Malyshev had run the software for 41 minutes on one computer and nearly two hours on another. It was also discovered that he deleted "active files" as well.

"A significant quantity of data was permanently destroyed," according to the Count County Sheriff's statement.

Bond was set at $100,000 in Cook County Court for the perjury charge and Malyshev will return to court on April 7.

Mug shot coming soon. Stay tuned to Patch for more on the Malyshev trial.