SEC settles ImClone insider trading charges for $2.77 million

[JURIST] Two friends of jailed ex-ImClone CEO Sam Waksal have settled insider trading charges [press release] brought by the US Securities and Exchange Commission [official website] by agreeing to pay $2.77 million to cover their avoided losses. Zvi Fuks and Sabina Ben-Yehuda sold their ImClone [corporate website; JURIST news archive] shares after Waksal told them the company's new drug was likely to be rejected by federal regulators. Fuks will pay $2.66 million and Ben-Yehuda will pay $110,000, the amounts they avoided losing by selling the stock before its value dropped. Criminal complaints against the two were dropped in August, but the new settlement must still be approved by a judge. Bloomberg has more.

 

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