The U.S. Department of Justice announced that Stephen George, a former vice president and controller at a NASDAQ-listed consumer packaged goods company, pleaded guilty in the Southern District of Florida to one count of securities fraud for trading on material non-public information and generating more than USD 1.6 million in illicit profits. According to court documents, George obtained a consolidated income statement from the company’s enterprise resource planning system on his last day of employment, April 7, 2023, emailed it to himself from a company computer, and then purchased 20,000 shares and 300 call option contracts between April 10 and May 8, 2023. After the company announced better-than-expected first-quarter 2023 earnings and sales following the market close on May 9, 2023, he sold the shares and options on May 10, 2023, realizing the profits. Sentencing is scheduled for April 28, and George faces a maximum penalty of 20 years in prison. The case was investigated by the Federal Bureau of Investigation’s Miami Field Office, with assistance from the Financial Industry Regulatory Authority’s Criminal Prosecution Assistance Group.
U.S. Department of Justice 2025-02-04
U.S. Department of Justice secures guilty plea from former public company vice president for insider trading scheme yielding over USD 1.6 million
The U.S. Department of Justice announced that Stephen George, a former vice president and controller at a NASDAQ-listed company, pleaded guilty to securities fraud for insider trading, generating over USD 1.6 million in illicit profits. George used non-public information to trade shares and options, selling them after the company reported better-than-expected earnings. He faces up to 20 years in prison, with sentencing set for April 28.