Compliance & Enforcement Update for Legal and Business Executives at Public Companies, Asset Managers, and Investment Advisors

On the heels of the Securities and Exchange Commission’s recent victory in SEC v. Panuwat, a novel insider trading case, Milbank’s Litigation & Arbitration partners Antonia Apps, George Canellos and associate Isabel Pitaro examine “shadow trading” in an article titled “SEC v. Panuwat: Shadow Trading Under Insider Trading Law.”
 
Legal and business executives, such as public company insiders (the tippers), as well as asset managers and investment advisors (the tippees) will find the article provides a timely and insightful analysis of the case as well as potential SEC enforcement reasoning on insider trading cases when one company’s acquisition foretells the potential acquisition of another company or whenever there is a significant correlation between the stock prices of two or more companies.
 
Click the following “Read more” link to read the authors’ insights on the SEC’s recent victory and the facts in the SEC complaint charging a former mid-size oncology biopharmaceutical company employee with insider trading of a competitor mid-size oncology-focused biopharmaceutical company ahead of a merger involving the individual’s former employer; although, however, the competitor mid-size oncology-focused biopharmaceutical company was unrelated to the merger.