(HedgeCo.Net)The Securities and Exchange Commission announced today settlements with former U.S. Rep. Christopher Collins, his son Cameron Collins, and Stephen Zarsky, all of whom were charged with insider trading and pleaded guilty to related criminal charges. The settlements, which are subject to court approval, bar Christopher Collins from serving as an officer or director of a public company and require Cameron Collins and Stephen Zarsky to disgorge the losses they avoided as a result of their insider trading.<\/p>\n
According to the SEC\u2019s complaint, Christopher Collins tipped his son, who then tipped others to non-public negative trial results for a multiple sclerosis drug developed by Australian biotech company Innate Immunotherapeutics Ltd. The complaint alleged that Christopher Collins, then an independent director on Innate\u2019s board, learned of the results from Innate\u2019s CEO and then spoke to his son Cameron Collins, who traded on the information and tipped others, including his then-girlfriend\u2019s father, Stephen Zarsky. Cameron Collins and Stephen Zarsky together sold nearly 1.7 million Innate shares in advance of Innate\u2019s public announcement of the negative results, avoiding combined losses of more than $700,000.<\/p>\n
\u201cInsider trading undermines investor confidence in the fairness and integrity of the securities markets,\u201d said Stephanie Avakian, Co-Director of the Enforcement Division. \u201cToday\u2019s settlements, along with the previous criminal pleas, should deter others who may be tempted to engage in this pernicious conduct.\u201d<\/p>\n
\u201cOur complaint alleged in detail how the defendants obtained and misused material nonpublic information for their own financial and personal gain,\u201d said Steven Peikin, Co-Director of the Enforcement Division. \u201cUpon approval, this resolution will strip former Representative Collins of the privilege of serving as an officer or director of a public company and ensure that the traders are deprived of their ill-gotten gains.\u201d<\/p>\n
The three defendants consented to the entry of final judgments that would resolve all claims and permanently enjoin them from violating antifraud provisions of the securities laws. Christopher Collins consented to be permanently barred from acting as an officer or director of any public company. Cameron Collins and Stephen Zarsky agreed to disgorge their avoided losses with prejudgment interest, totaling $634,299 and $159,880, respectively. The settlements are subject to the approval of the Honorable Katherine Polk Failla of the U.S. District Court for the Southern District of New York.<\/p>\n","protected":false},"excerpt":{"rendered":"
(HedgeCo.Net)The Securities and Exchange Commission announced today settlements with former U.S. Rep. Christopher Collins, his son Cameron Collins, and Stephen Zarsky, all of whom were charged with insider trading and pleaded guilty to related criminal charges. The settlements, which are […]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,3,16048],"tags":[],"class_list":["post-72125","post","type-post","status-publish","format-standard","hentry","category-hedgeco-networks-press-releases","category-hedgeco-news","category-hedgecovest-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72125","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=72125"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72125\/revisions"}],"predecessor-version":[{"id":72126,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/72125\/revisions\/72126"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=72125"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=72125"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=72125"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}