Insider Trading Without Cooling Off
商品編號：W33791
出版日期：2023/09/15
再版日期：
商品來源：
商品主題：Finance; General Management/Strategy
商品類型：Case (Pub Mat)
涵蓋議題：business ethics;corporate governance;executive compensation;business law;restricted stock units (RSUs);employee stock options;Securities and Exchange Commission
難易度：4 - Undergraduate/MBA
內容長度：11 頁
地域：United States
產業：Health Care Services
事件年度：2023
In May 2021, the majority shareholder and chief executive officer of Ontrak Inc., a US health care services company, established two 10b5-1 trading plans to sell approximately one million shares of stock he acquired by exercising expiring warrants. Before he began the process to execute the first 10b5-1 plan, Ontrak Inc. had just lost its largest client. Three days into the process for the second 10b5-1 trading plan, the company announced that it was losing another major client. On March 1, 2023, two concurrent insider trading lawsuits were filed against the chief executive officer by the United States Securities and Exchange Commission and by the United States Department of Justice. The lawsuits contended that he sold his stock the day after filing the plans instead of waiting a set number of days, commonly known as a “cooling-off” period. However, the chief executive officer was arguing that a cooling-off period was not mandatory when he sold his stock, insisting that the “government [had] clearly overreached in this case.” He was forced to prepare a defence against two separate lawsuits filed against him.
教學手冊：Insider Trading Without Cooling Off - Teaching Note
補充材料：