Four employees of a California research firm have been charged with insider trading by the U.S. Securities & Exchange Commission, according to a report in the Wall Street Journal.
The government is filing such charges with alarming frequency in the wake of the economic collapse. Consulting firms, hedge funds, traders, and corporate executives should consult an experienced law firm as early as possible when it is determined a firm is being targeted by federal investigators. Consulting a contingency business litigation attorney can help ensure your rights are protected at each stage of the process.
Our experienced white-collar criminal defense attorneys know what it takes to aggressively defend against charges of fraud, insider trading or other allegations of wrongdoing.
In this case, the former employees of a Mountain View research firm are charged by federal prosecutors in Manhattan as part of a broad probe into insider trading. Allegations are that the employees had inside ties to tech firms and passed along non-public information on earnings, sales and financial performance. That information was then allegedly used to benefit the firm's clients, including investors and hedge funds.
The lawsuit alleges the consultants received hundreds of thousands of dollars in fees as a result of sharing inside information. Authorities contend nearly $6 million in illegal profits were generated through trades in some of the nation's leading tech companies, including Apple Inc., Advanced Micro Devices Inc, Dell Inc, and Research in Motion Ltd., the maker or Blackberry.
The Ferraro Law Firm provides comprehensive legal services, including White-Collar criminal defense and business litigation on a contingency-fee basis. Call 1-800-275-3332 for a free and confidential consultation. Offices in Miami, Washington, D.C., and New York City.