SEC-PR-2412-195 (Dec. 11, 2024) (SEC-PR-2412) SEC Charges Ken Peterman, Former Comtech CEO, with Insider Trading in Advance of Negative Earnings Announcement – Defendant placed order to sell company’s securities within hours of his termination for cause while subject to multiple trading blackouts Excerpt: Washington D.C., Dec. 11, 2024 — The Securities and Exchange Commission today announced […]
Category: Insider Trading
Insider Trading refers to the practice of buying or selling publicly-traded company securities based on material, nonpublic information about the company. This activity is considered illegal when it involves trading based on information that is not available to the general public, as it undermines investor confidence and the integrity of the financial markets. For instance, if a corporate executive learns about an upcoming merger that has not yet been disclosed to shareholders and subsequently buys stock in the company before the announcement, this constitutes insider trading. The law distinguishes between legal and illegal insider trading; while insiders can legally buy and sell shares of their own companies, they must report their trades to the appropriate regulatory bodies and cannot use undisclosed information to gain an unfair advantage. Violations can lead to severe penalties, including hefty fines and imprisonment, emphasizing the importance of transparency and fairness in the trading environment.
♦ (SEC) (www.investor.gov) – “Insider Trading“
SEC-LR-26172 (11-19-24) Robert Brian Thompson (SEC) Litigation Release No. 26172 / November 19, 2024 SEC v. Robert Brian Thompson, No. 3:24-cv-00800-MHL (E.D. Va., filed Nov. 8, 2024) SEC Charges Richmond Federal Reserve Banking Supervisor with Insider Trading Excerpt: On November 8, 2024, the Securities and Exchange Commission filed insider trading charges against Robert Brian Thompson, […]