Amazon exec’s husband jailed for two years for insider trading. Yes, with Amazon stock
The husband of an Amazon financial executive was sentenced on Thursday to 26 months behind bars for insider trading of the web giant’s stock.
Viky Bohra, 37, of Bothell, Washington, reaped a profit of $1,428,264 between January 2016 and October 2018 by buying and selling Amazon stock using eleven trading accounts managed by himself and his family.
Bohra was able to pocket these big gains because he got copies of Amazon’s confidential financial figures from his wife, Laksha Bohra, who worked as a senior manager in the mega corp’s tax department. Laksha had access to Amazon’s earnings before the numbers were publicly disclosed and reported to the Securities and Exchange Commission. Her husband “obtained” this secret information, despite her being repeatedly warned to not leak the confidential data, and used it to favorably trade in Amazon stock and options.
“This defendant and his wife were earning hundreds of thousands of dollars in salary and bonuses from their jobs in tech – but he was not content with that – greedily scheming to illegally profit by trading Amazon stock,” Acting US Attorney Tessa Gorman, said in a statement.
“This case should stand as a warning to those who try to game the markets with insider trading: there is a heavy price to pay with a felony conviction and prison sentence.”
The FBI began sniffing around, and the Attorney’s Office for the Western District of Washington filed criminal charges [PDF] against Viky in 2020. He pleaded guilty in November to securities fraud. Separately, he was also charged by the SEC and told to cough up $2,652,899 in disgorgement, interest, and penalties.
“Mr Bohra knew exactly what he was doing and was driven solely by greed,” Donald Voiret, an FBI Special Agent leading the Seattle Field Office, added. “With his nearly unlimited access and knowledge of securities trading, he undermined public trust in our financial markets.”
Laksha Bohra was suspended from her job in 2018 and resigned shortly after, according to a lawsuit filed by the SEC [PDF], and will not face criminal charges as part of Viky’s agreement to plead guilty. ®
via The Register https://ift.tt/3gv0n1Y
June 11, 2021 at 03:04PM