The U.S. Securities and Exchange Commission (SEC) has initiated a civil fraud trial against Terraform Labs and its founder, alleging the construction of a 'House of Cards'. Concurrently, the SEC is conducting a trial against a former Bay Area biotech executive, testing an insider-trading theory involving 'shadow trading'. This theory is being examined through the case of a former Medivation executive accused of making $120,000 from trading stock in a competitor after learning about his company's impending acquisition by Pfizer. The SEC's lawyer likened the executive's windfall to 'betting on a game when you know who’s going to win,' suggesting a clear advantage was exploited.
SEC tests insider-trading theory at trial of ex-Bay Area biotech executive https://t.co/R80KTac7dx
SEC tests insider-trading theory at trial of ex-Bay Area biotech executive https://t.co/fBI26ViVIk
The SEC said at the start of a "shadow trading" trial that a former Medivation exec made $120,000 by buying stock in a rival after learning his company would be acquired by Pfizer, while the defense said he didn't believe the trades violated the law. https://t.co/Aj8LMxiv42
A lawyer for the SEC told a jury that a former biotech executive’s $120,000 windfall on a trade in a competing company’s stock was “like betting on a game when you know who’s going to win.” https://t.co/7niJXqP7gV
The SEC is testing an insider-trading theory at the trial of an ex-biotech executive https://t.co/BlrTtX8a3U
SEC Says Terraform Labs and Its Founder Built 'House of Cards' as Civil Fraud Trial Opens https://t.co/LdEg5INney