BOSTON (AP) — Two men from Massachusetts and Connecticut have been charged in an insider trading scheme that prosecutors say netted more than $1 million.
Forty-four-year-old Iftikar Ahmed of Brookline, Massachusetts, and 47-year-old hedge fund executive Amit Kanodia of Greenwich, Connecticut, were charged with securities fraud Thursday in federal court in Boston. The Securities and Exchange Commission also filed civil charges.
Federal prosecutors say Kanodia tipped off Ahmed and another friend before April 2013 about the possible acquisition of Cooper Tire and Rubber Co. by India-based Apollo Tyre.
Prosecutors say Ahmed and the unidentified friend bought Cooper Tire shares before the public announcement of the acquisition, then sold their interests for more than $1 million as Cooper Tire’s share prices increased after the announcement.
It’s not clear if Ahmed and Kanodia have lawyers.
Copyright 2015 Associated Press