Former US exec pleads guilty to insider trading
July 23, 2014, 12:15 am TWN
WASHINGTON--A former high-ranking executive of U.S. computer chip giant Qualcomm pleaded guilty Monday to insider trading charges, including trades on a 2011 deal for Atheros Communications, officials said.
Jing Wang, 51, the former executive vice president and president of global business operations at Qualcomm, also pleaded guilty to laundering the proceeds of his insider trading using an offshore shell company, the Justice Department said.
"Not satisfied with his lucrative executive position at Qualcomm, Jing Wang traded on insider information about the company's acquisitions and earnings to gain an illegal advantage in the financial market," said Assistant Attorney General Leslie Caldwell.
"Wang then laundered close to US$250,000 in insider trading profits, and created a cover-up story to hide his crimes."
According to prosecutors, Wang committed insider trading on three separate occasions over a 10-month period in 2010 and 2011 and received around US$250,000 in illegal gains.
The purchases included US$277,739 of Qualcomm stock prior to the company's unexpected announcement of a dividend increase and stock repurchase program.
Authorities said that in December 2010, while he was in Hong Kong, Wang purchased Atheros stock hours after Qualcomm's board made an offer for Atheros that had not been made public.