SEC Accuses Ex-Apple Executive of Insider Trading--2nd Update
February 13 2019 - 2:00PM
Dow Jones News
By Maria Armental
A former Apple Inc. senior lawyer has been accused by the
Securities and Exchange Commission of exploiting his position to
illegally trade shares in the company ahead of Apple's financial
reports, according to court documents.
The civil complaint said Gene Daniel Levoff used private
information that he accessed through his job to illegally trade at
least three times in 2015 and 2016.
Kevin Marino, an attorney for Mr. Levoff, said federal
prosecutors in New Jersey also filed a criminal complaint against
the former Apple executive. "We look forward to defending him in
both matters," Mr. Marino said.
Mr. Levoff was senior director of corporate law, responsible for
Apple's compliance with securities law -- including insider-trading
policies and providing advice on securities filings and financial
reporting. He also served on a core group of high-ranking
executives, the disclosure committee, and as a corporate officer of
every major Apple subsidiary.
Through the trading in question, Mr. Levoff avoided losses of
about $382,000, the SEC said in the complaint filed in federal
court in New Jersey.
For example, the SEC said Mr. Mr. Levoff knew in July 2015 that
Apple would miss analysts' third-quarter estimates for iPhone unit
sales -- and sold roughly $10 million of Apple stock, virtually all
of his holdings, and avoided losses when the company's shares fell
4% after it reported quarterly financial results.
Apple fired Mr. Levoff last September, the SEC said. Apple
didn't immediately respond to request for comment.
Write to Maria Armental at maria.armental@wsj.com
(END) Dow Jones Newswires
February 13, 2019 13:45 ET (18:45 GMT)
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