Florida Man Sentenced to 1 Year in Prison for Insider Trading Scheme
ROBERTO RODRIGUEZ, a Florida man, was sentenced to one year and one day in prison for his involvement in an insider trading scheme based on material, nonpublic information misappropriated from an investment bank.
According to the Indictment, RODRIGUEZ, along with Michael Siva, Rodolfo Sablon, Jhonatan Zoquier, and Jeffrey Rogiers, were arrested and charged in a 54-count Indictment for their involvement in three overlapping insider trading schemes, generating more than $5 million in illicit profits, all stemming from information misappropriated by Daniel Rivas.
RODRIGUEZ pled guilty on September 7, 2018, to one count of conspiracy to commit securities fraud and fraud in connection with a tender offer before Magistrate Judge Henry B. Pitman. His plea was thereafter accepted by U.S. District Judge Alison J. Nathan, who also imposed today’s sentence.
U.S. Attorney Geoffrey Berman said, “Roberto Rodriguez reaped millions of dollars trading on confidential corporate information stolen by a longtime friend at an investment bank. Our Office is committed to identifying and prosecuting insider trading networks that undermine our nation’s securities markets.”
RODRIGUEZ was a member of the second of three tipping chains outlined in the Indictment. In this tipping chain, Rivas passed inside information to RODRIGUEZ, a childhood friend of Rivas with whom Rodriguez had maintained a close relationship as adults, and Sablon.
Rivas, a former employee at the investment bank, had access to an internal, proprietary system maintained by the bank containing material, nonpublic information about potential and unannounced merger and acquisition transactions, including tender offers. Rivas had a duty to maintain the confidentiality of all of the bank’s confidential information, including the Inside Information.
In total, the insider trading based on Inside Information misappropriated by Rivas resulted in illicit profits of more than $5 million through trading in more than two dozen securities. The Inside Information was passed through three tipping chains.
MANDATORY FACTS:
Defendant/respondent: ROBERTO RODRIGUEZ
Criminal charges: Conspiracy to commit securities fraud and fraud in connection with a tender offer
City and state: New York
Exact date: September 7, 2018
Sentence or outcome: One year and one day in prison
Dollar amounts: More than $5 million in illicit profits
Key Facts
- State: New York
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
White Collar CrimeWhite Collar CrimeWhite Collar CrimeWhite Collar Crime