A former FBI trainee, who had been stealthily trading non-public information filched from his ex-girlfriend, a BigLaw associate, has agreed to a civil judgment against him. The judgment, which came a few months after his guilty plea to insider trading, now permanently bars him from making transgressions against securities laws. The events under question underline the serious repercussions of unethical trading practices and the commitment from regulators to curb such behaviour.
The case illustrates the issues of insider trading, a malpractice that involves trading of a public company’s stock or other securities by individuals with access to non-public, material information about the company. It brings into focus not only the legal, but also the ethical aspects of these transgressions in the world of securities trading.
For more detailed information on this case, the full judgment can be accessed on Law360.