NEW YORK, July 25 (Reuters) – A former investment banker, a former FBI intern and several others were charged on Monday with insider trading in separate schemes that generated millions of dollars in illegal profits, said US prosecutors.
Damian Williams, Manhattan’s top federal prosecutor, was scheduled to answer the charges at a press conference. Williams, appointed to the post by President Joe Biden, has made fighting financial crimes a priority since taking office last year.
The United States Securities and Exchange Commission has filed related charges on various trading systems.
Among those charged was Brijesh Goel, a former employee of an unnamed investment bank who provided a co-conspirator with inside and non-public information about possible mergers and acquisitions from February 2017, according to an indictment. indictment not sealed on Monday.
The co-conspirator, identified by the SEC as Goel’s friend Akshay Niranjan, used the tips to trade in securities of some of those companies and then split about $280,000 in profits with Goel, prosecutors said.
Goel faces five counts of securities fraud and one count of obstruction of justice.
Prosecutors also charged Seth Markin, the former FBI intern, with insider trading for allegedly buying shares of Pandion Therapeutics Inc ahead of a February 2021 takeover bid for the company by Merck & Co.
Markin allegedly learned of the affair by secretly reviewing documents belonging to his then-romantic partner, who worked at a law firm representing Merck.
In a third case, prosecutors said Amit Bhardwaj, a former executive of laser and fiber optic specialist Lumentum Holdings Inc, bought shares of Coherent Inc last fall after learning that Lumentum was planning to acquire the society.
Lawyers for Goel, Markin and Bhardwaj could not immediately be identified.
Prosecutors separately announced charges against Stephen Buyer, a former U.S. congressman, for buying Sprint stock after learning of rival T-Mobile’s plans to acquire the company in 2018.
The buyer was then working as a consultant for T-Mobile, prosecutors said. (Reporting by Luc Cohen in New York; Editing by David Gregorio)