Equifax Brings Early Lessons On Insider Trading Policies
By Gary Tygesson and Cam Hoang ( September 15, 2017, 1:56 PM EDT) -- Insider trading allegations have surfaced at Equifax, a credit rating agency that recently announced a data breach that could potentially affect 143 million consumers in the United States, nearly half of the country's population. U.S. Securities and Exchange Commission filings show that three Equifax executives — chief financial officer John Gamble Jr., workforce solutions president Rodolfo Ploder and U.S. information solutions president Joseph Loughran — sold nearly $2 million in shares of the company's common stock days after the cyberattack was discovered but before the news was publicly announced. It was unclear whether their share sales had anything to do with the breach. None of the SEC filings list the sales as being conducted as part of pre-established 10b5-1 trading plans. Equifax said in a statement that the three executives sold a "small percentage" of their shares on Aug. 1 and Aug. 2, adding they "had no knowledge that an intrusion had occurred at the time they sold their shares." Following the company's announcement of the data breach on Sept. 9, Equifax shares traded down by almost 14 percent. The SEC has not commented on the share sales....
Law360 is on it, so you are, too.
A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.