Gene Levoff, who was a senior director of corporate law in charge of enforcing Apple’s Insider Trading Policy, was aware of Apple financial results before they were public, and the government alleges he traded based on those results.
He’s facing six counts of securities fraud and six counts of wire fraud.
“This scheme to defraud Company-1 [Apple Inc.] and its shareholders allowed Levoff to realize profits of approximately $227,000 on certain trades and to avoid losses of approximately $377,000 on others,” according to the press release.
It continued: “When Levoff discovered that Company-1 had posted strong revenue and net profit for a given financial quarter, he purchased large quantities of stock, which he later sold for a profit once the market reacted to the news.”
Levoff was one of Apple’s top lawyers. He started at Apple in 2008 and was a senior director of corporate law from 2013 until 2018, according to the indictment. The trades mentioned in the indictment occurred between 2011 and 2016.
One of his responsibilities at Apple was making sure that Apple employees didn’t do any insider trading.
MacDailyNews Note: This is now a criminal case, and each count carries a maximum penalty of 20 years in prison in addition to fines. If found guilty, prosecute him to the fullest extent of the law – and not in some Club Fed white-collar, minimum-security resort, either.