{"id":79391,"date":"2021-09-20T00:32:05","date_gmt":"2021-09-20T04:32:05","guid":{"rendered":"https:\/\/www.hedgeco.net\/news\/?p=79391"},"modified":"2021-09-19T22:26:28","modified_gmt":"2021-09-20T02:26:28","slug":"sec-charges-former-pharmaceutical-global-it-manager-in-8-million-insider-trading-scheme","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/09\/2021\/sec-charges-former-pharmaceutical-global-it-manager-in-8-million-insider-trading-scheme.html","title":{"rendered":"SEC Charges Former Pharmaceutical Global IT Manager in $8 Million Insider Trading Scheme"},"content":{"rendered":"\n<p>(HedgeCo.Net) The Securities and Exchange Commission has announced insider trading charges against <strong>Dayakar R. Mallu,<\/strong> of Orlando, Florida, who generated gains and avoided losses totaling over <strong>$8 million<\/strong> by trading in the securities of his former employer, Mylan N.V., ahead of four public announcements between Oct. 3, 2017, and July 29, 2019.<\/p>\n\n\n\n<p>The SEC\u2019s complaint, filed in the United States District Court for the Western District of Pennsylvania, alleges that Mallu received material nonpublic information about Mylan&#8217;s unannounced earnings, drug approvals by the U.S. Food and Drug Administration, and impending merger with a division of Pfizer Inc. from his friend, a Mylan insider. The complaint alleges that Mallu traded on that information, and shared a portion of his trading profits with the Mylan insider by making cash payments in India.<\/p>\n\n\n\n<p>&#8220;As alleged in our complaint, Mallu exploited his access to valuable information concerning Mylan\u2019s earnings information, drug announcements, and merger plans to place highly successful options trades,&#8221; said Scott A. Thompson, Co-Acting Regional Director of the SEC&#8217;s Philadelphia Regional Office. &#8220;But Mallu&#8217;s efforts to conceal his scheme through secure messaging apps and foreign cash payments were unavailing, as this case highlights the agency&#8217;s ability to use sophisticated data analysis to detect suspicious trading patterns and identify the traders behind them.&#8221;<\/p>\n\n\n\n<p>The SEC&#8217;s complaint charges Mallu with violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Mallu has consented to the entry of a judgment which, if approved by the court, would permanently enjoin him from violating the charged provisions and bar him from acting as the officer or director of a public company, with civil penalties, if any, to be decided later by the court.<\/p>\n\n\n\n<p>In a parallel action, the U.S. Department of Justice, Fraud Section, today announced criminal charges against Mallu.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>(HedgeCo.Net) The Securities and Exchange Commission has announced insider trading charges against Dayakar R. Mallu, of Orlando, Florida, who generated gains and avoided losses totaling over $8 million by trading in the securities of his former employer, Mylan N.V., ahead [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,3,16048,16047],"tags":[],"class_list":["post-79391","post","type-post","status-publish","format-standard","hentry","category-hedgeco-networks-press-releases","category-hedgeco-news","category-hedgecovest-news","category-insider-trading-2"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/79391","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=79391"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/79391\/revisions"}],"predecessor-version":[{"id":79392,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/79391\/revisions\/79392"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=79391"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=79391"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=79391"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}