{"id":85691,"date":"2023-08-24T01:23:12","date_gmt":"2023-08-24T05:23:12","guid":{"rendered":"https:\/\/www.hedgeco.net\/news\/?p=85691"},"modified":"2023-08-24T01:23:12","modified_gmt":"2023-08-24T05:23:12","slug":"attorney-at-u-s-based-global-law-firm-charged-with-insider-trading","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/08\/2023\/attorney-at-u-s-based-global-law-firm-charged-with-insider-trading.html","title":{"rendered":"Attorney at U.S.-Based Global Law Firm Charged with Insider Trading"},"content":{"rendered":"\n<p>(HedgeCo. Net) The Securities and Exchange Commission has filed insider trading charges against <strong>Romero Cabral da Costa Neto<\/strong> for trading based on material, nonpublic information concerning a client of the global law firm where he worked as a visiting attorney from Brazil.<\/p>\n\n\n\n<p>According to the SEC\u2019s complaint, in 2023, during Costa\u2019s one-year term of employment as a visiting attorney at the law firm, he accessed confidential information about the law firm\u2019s work on the biopharmaceutical company Swedish Orphan Biovitrum AB\u2019s acquisition of CTI BioPharma Corp. (CTIC). The complaint alleges that, on May 9, 2023, the day before the deal was publicly announced, Costa purchased more than 10,000 shares of CTIC. He then allegedly sold those shares in violation of securities laws and the firm\u2019s policies, including its policy against insider trading, on the day of the announcement, realizing a profit of more than $42,000. In addition to CTIC, Costa traded in the securities of several other issuers represented by the law firm, close in time to material announcements by those companies.<\/p>\n\n\n\n<p>\u201cAs alleged in our complaint, Costa violated his duties to the law firm and its clients when he abused his position to enrich himself,\u201d said Nicholas P. Grippo, Regional Director of the Philadelphia Regional Office. \u201cLawyers often have access to sensitive and confidential information about their law firms\u2019 public company clients. When lawyers abuse that access, as Costa allegedly did here, we will promptly take action to hold them accountable. In this case, thanks to the quick work of the SEC\u2019s staff, we were able to act within months of Costa\u2019s alleged insider trading to ensure that he will be held accountable.\u201d<\/p>\n\n\n\n<p>This case originated from the SEC\u2019s Market Abuse Unit\u2019s Analysis and Detection Center, which uses data analysis tools to detect suspicious trading patterns. The SEC referred the matter to the U.S. Attorney&#8217;s Office for the District of Columbia, which today announced parallel criminal charges against Costa.<\/p>\n\n\n\n<p>The SEC\u2019s complaint, filed in U.S. District Court for the District of Columbia, charges Costa with violating the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and seeks injunctive relief, disgorgement with prejudgment interest, and civil penalties.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>(HedgeCo. Net) The Securities and Exchange Commission has filed insider trading charges against Romero Cabral da Costa Neto for trading based on material, nonpublic information concerning a client of the global law firm where he worked as a visiting attorney [&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-85691","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\/85691","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=85691"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/85691\/revisions"}],"predecessor-version":[{"id":85692,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/85691\/revisions\/85692"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=85691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=85691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=85691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}