Former employees at the Centers for Medicare & Medicaid Services used confidential information on Medicare reimbursement changes for radiation treatments and dialysis in a nearly $4 million insider trading scheme, federal prosecutors and the U.S. Securities & Exchange Commission alleged today. An SEC lawsuit and a criminal complaint accuse political consultant David Blaszczak, founder of Precipio Health Strategies […]
Insider Trading
Judge declares mistrial in insider trading case against ex-Advanced Medical Optics CEO Mazzo
A federal judge in California last week declared a mistrial after a jury deadlocked over the insider trading charges leveled against former Advanced Medical Optics CEO James Mazzo. The jury convicted former Orioles player Doug DeCinces and friend and a business associate on charges of tender offer fraud, but deadlocked on some of the charges against […]
Defendants move for acquittal in Abbott-Advanced Medical Optics insider trading case
The defendants in an insider trading case yesterday asked a federal judge in California to acquit them of all charges, arguing that the government failed to show any evidence that they traded on inside dope about Abbott‘s (NYSE:ABT) $2.8 billion acquisition of Advanced Medical Optics in 2009. Federal prosecutors in 2014 accused ex-Advanced Medical Optics chief James Mazzo of tipping […]
Ex-banker Stewart draws 3 years for insider trading on healthcare deals
A former Wall Street investment banker was sentenced to 3 years in prison last week after he was convicted on insider trading charges related to a quintet of medical device and life science acquisitions. Sean Stewart, who worked at Perella Weinberg Partners and JPMorgan Chase, was found guilty in New York City on all of the 9 counts he faced, including […]
Jury convicts ex-banker in healthcare insider trading trial
After signaling last week that it might be headed for deadlock, a federal jury today convicted an ex-investment banker on insider trading charges related to a quintet of medical device and life science acquisitions. Sean Stewart, who worked at Perella Weinberg Partners and JPMorgan Chase, was found guilty in New York City on all of the 9 counts […]
Jury signals deadlock in ex-banker’s insider trading trial
The jury deliberating over insider trading charges, leveled at an investment banker based on a quintet of medical device and life science acquisitions, reportedly told a federal judge last week that it’s deadlocked on at least 1 of the charges and that a unanimous verdict “may not likely happen.” Prosecutors accused Sean Stewart, an investment banker for JP […]
Ex-AMO CEO Mazzo wants stay in insider trading case pending Supreme Court decision
James Mazzo, the former Advanced Medical Optics CEO who was indicted 2 years ago, wants a federal judge to agree to a stay pending a U.S. Supreme Court decision this fall over issues he claims could affect the insider trading charges alleged in his case. Mazzo was indicted in September 2014, stemming from Abbott‘s (NYSE:ABT) $2.8 billion […]
U.S. securities regulator levels new charges in press release hacking case
(Reuters) — The SEC charged 9 new defendants in what it has called a more than $100 million international scheme to hack into newswires that distribute corporate press releases and to use stolen information to conduct insider trading. According to a complaint filed yesterday in the U.S. District Court for New Jersey, 5 traders and 4 companies they own made more than $19.5 […]
Ex-trader loses bid to dismiss insider trading case
Sean Stewart, a former executive with JP Morgan and Perella Weinberg Partners who is accused of insider trading based on his work on several medical device transactions, lost his bid to have criminal charges dismissed from a federal court in New York. Federal prosecutors in May 2015 charged Stewart, his father Robert Stewart and a 3rd […]
Valeant, Ackman can’t dodge insider trading case from failed Allergan takeover
(Reuters) — A U.S. judge said Valeant Pharmaceuticals (NYSE:VRX, TSE:VRX) and activist hedge fund manager William Ackman must face a lawsuit accusing them of insider trading in Allergan (NYSE: AGN) before making an unsuccessful takeover bid for the maker of Botox. In a Nov. 9 decision, U.S. District Judge David Carter in Santa Ana, Calif., […]
Ex-Wells Fargo trader slips SEC charges of insider trading
(Reuters) — A former Wells Fargo trader yesterday was cleared of insider trading charges brought by the U.S. Securities & Exchange Commission, after a major appellate decision limited authorities’ ability to pursue such cases. Following a trial before the regulator’s in-house court, Administrative Law Judge Jason Patil dismissed the charges against Joseph Ruggieri, who the SEC said […]