The U.S. Department of Justice announced that four individuals have now been sentenced for participating in an insider trading scheme that used material nonpublic information about a planned USD 3.2 billion merger between two pharmaceutical companies. The scheme generated more than USD 600,000 in illicit profits after Rouzbeh Ross Haghighat, a director of the target company, learned confidential deal terms and bought shares himself while tipping others to do the same. On June 23, Rouzbeh Ross Haghighat was sentenced to 40 months in prison and Kirstyn Pearl to six months. Seyedfarbod Fabio Sabzevari and James Roberge had previously been sentenced on May 4 to 14 months and two months, respectively. Court documents and trial evidence showed that in May 2023 Haghighat obtained inside information about an above-market acquisition proposal for the Seattle-based biopharmaceutical company on whose board he served, then passed that information to Pearl, Sabzevari and Roberge before the deal was announced in June 2023 and the share price rose. In December 2025, Haghighat was convicted of securities fraud, 16 counts of insider trading and two counts of conspiracy, while Pearl was convicted of securities fraud, insider trading and conspiracy. The U.S. Postal Inspection Service investigated the case.
U.S. Department of Justice2026-06-24
U.S. Department of Justice secures prison sentences for four defendants in USD 600,000 insider trading scheme tied to USD 3.2 billion merger
The U.S. Department of Justice said four people have now been sentenced over an insider trading scheme tied to a planned USD 3.2 billion pharmaceutical merger that generated more than USD 600,000 in illegal profits. Board member Rouzbeh Ross Haghighat received 40 months in prison for trading on confidential deal information and tipping others, while Kirstyn Pearl, Seyedfarbod Fabio Sabzevari and James Roberge received six months, 14 months and two months.