Pequot Says S.E.C. Won’t Take Action

The staff of the Securities and Exchange Commission has notified Pequot Capital Management, a prominent hedge fund run by Arthur J. Samberg, that it will not recommend an enforcement action against the firm or its employees relating to an insider trading investigation, according to a letter sent yesterday by the fund to its clients.

Saying that Pequot was “gratified by the staff’s determination,” the letter noted that the S.E.C. had not yet closed the investigation. The commission, as is its custom, declined to comment on Pequot’s disclosure. The fund has maintained that its trading was proper at all times.