INTERNATIONAL NEWS
2 Indian Americans among six charged for generating USD 1.7 million illegally in Silicon Valley insider trading
US Securities and Exchange Commission has slapped charges to two Indian Americans along with the other four members of a Silicon Valley trading ring for generating nearly USD 1.7 million in illegal profits by trading on the confidential earnings information of two local technology companies.
The SEC alleged that Bannon tipped Sood with material, nonpublic information concerning Bannon's employer, Fortinet Inc
Sood allegedly traded on this information and tipped his three friends Marcus Bannon, Matthew Rauch, and Naresh Ramaiya
Washington: Two Indian Americans were among six members of a Silicon Valley trading ring against which the US Securities and Exchange Commission has slapped charges for generating nearly USD 1.7 million in illegal profits by trading on the confidential earnings information of two local technology companies.
According to the SEC complaint on Tuesday (June 16), Nathaniel Brown, 49, who served as the revenue recognition manager for Infinera Corporation, repeatedly tipped Infinera's unannounced quarterly earnings and financial performance to his best friend, Benjamin Wylam, 42, from April 2016 until Brown left the company in November 2017.
The Commission, which enforces laws against market manipulation, alleged that Wylam, a high school teacher and bookmaker, traded on this information and also tipped Naveen Sood, 49, who owed Wylam a six-figure gambling debt.
Sood allegedly traded on this information and tipped his three friends Marcus Bannon, 47; Matthew Rauch, 47; and Naresh Ramaiya, 41; each of whom also illegally traded on the information. Sood and Ramaiya are Indian Americans.
Infinera Corporation is a Delaware corporation with its headquarters in Sunnyvale, California. Infinera provides networking solutions in the telecommunications sector.
Fortinet Inc is a Delaware corporation with its headquarters in Sunnyvale, California. Fortinet provides cybersecurity solutions.
The SEC alleged that Bannon tipped Sood with material, nonpublic information concerning Bannon's employer, Fortinet Inc.
According to the SEC complaint, Bannon learned in early October 2016 that Fortinet was going to unexpectedly announce preliminary negative financial results.