News Summary: Man paying $5.2M to settle SEC case

News Summary: Thai resident paying $5.2M to settle insider trading case in Smithfield takeover

Associated Press

SETTLING INSIDER TRADING CHARGES: U.S. regulators say a resident of Thailand has agreed to pay $5.2 million to settle civil charges of trading on inside knowledge of a takeover bid for Smithfield Foods Inc. by a big Chinese company. Smithfield is the world's largest pork producer and processor. Its acquisition by Shuanghui International Holdings, China's biggest meat producer, would be the largest takeover of a U.S. company by a Chinese firm.

ALLEGED ILLEGAL PROFITS: The Securities and Exchange Commission announced the settlement with Badin Rungruangnavarat, an employee of a Thai plastics company. The SEC accused him in June of making $3.2 million in illegal profits by using knowledge of the proposed Smithfield takeover before it was announced publicly on May 29.

POSSIBLE SOURCE: The SEC said Rungruangnavarat's possible sources for the confidential information included a Facebook friend who worked at an investment bank that had advised a Thai food company considering its own bid for Smithfield.

Rates

View Comments (0)