Frank Glassner, Insider Trading, New York 2022
California Consultant Sentenced for Insider Trading
In a shocking turn of events, Frank Glassner, a principal of an executive compensation consulting firm based in Novato, California, has been sentenced to prison for committing insider trading. On August 19, 2022, Glassner pled guilty to one count of securities fraud in connection with his scheme to commit insider trading.
Glassner's scheme involved misappropriating material, non-public information regarding Kadmon Holdings, Inc.'s acquisition by Sanofi, S.A. He used this information to trade Kadmon stock and call options, ultimately profiting $368,000. The acquisition was announced publicly on September 8, 2021, causing Kadmon's share price to increase by approximately 71%.
Glassner, 68, of Novato, California, was sentenced to one year and one day in prison by U.S. District Judge Lewis J. Liman. In addition to his prison sentence, Glassner was ordered to pay forfeiture in the amount of $368,000.
U.S. Attorney Damian Williams praised the outstanding work of the Federal Bureau of Investigation and thanked the U.S. Securities and Exchange Commission for their role in bringing a related civil action against Glassner.
The case is being handled by the Office's Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Gina Castellano is in charge of the prosecution.
This case serves as a reminder that insider trading will not be tolerated and that those who engage in such activities will face the consequences. The public can expect continued vigilance from law enforcement and prosecutors in protecting the integrity of our markets.
About the case:
Defendant: Frank Glassner
Criminal Charges: Securities Fraud
City and State: Novato, California
Exact Date: August 19, 2022 (sentencing)
Sentence: One year and one day in prison, plus $368,000 in forfeiture
Dollar Amount: $368,000 (forfeiture amount)
Key Facts
- State: New York
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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