Please ensure Javascript is enabled for purposes of website accessibility
January 27, 2023

The SEC Is On An Insider Trading Losing Streak

The U.S. Securities and Exchange Commission, in a third insider-trading trial defeat in the past year, lost its lawsuit claiming STEC Inc.’s former chief executive officer made $134 million by selling stock before divulging a sales setback to investors.

Federal jurors in Santa Ana, California, returned their verdict on the first day of deliberations.

The SEC claimed Manouchehr Moshayedi, who co-founded the maker of computer-storage cards with his two brothers in 1990, sold 4.5 million STEC shares in an August 2009 secondary offering after learning that a major customer, EMC Corp. (EMC), would scale back purchases of the ZeusIOPS flash memory product. [Bloomberg]

Latest Accounting Jobs--Apply Now:

Have something to add to this story? Give us a shout by email, Twitter, or text/call the tipline at 202-505-8885. As always, all tips are anonymous.

Related articles

SEC Enforcement Released Its Greatest Hits for FY 2022

The SEC Division of Enforcement cracked a lot of skulls in fiscal 2022, as it brought in a record $6.439 billion in penalties and disgorgement, up from $3.852 billion in fiscal year 2021. Of that total, the $4.194 billion in civil penalties the SEC doled out was also a record, but the $2.245 billion in […]

a help wanted sign

The SEC’s Attrition Rate is Up But Is It Worse Than Public Accounting’s?

Answer: nope. POLITICO: The SEC has seen attrition rates jump from 5.4 percent in fiscal year 2021 to an estimated 6.4 percent in 2022 — the highest in a decade, according to the report, which began circulating late last week. The SEC is not unique in seeing employees depart. Attrition rates across the federal government […]