MONROE, La. (AP) - A dentist who practices in Ruston and Monroe will plead not guilty to insider trading charges when he’s arraigned in federal court in Baton Rouge on March 27, according to his attorney.
The News-Star reports (https://tnsne.ws/18i4WIo ) Jesse H. Roberts III, 43, was indicted in Baton Rouge on federal conspiracy and securities fraud charges after the government said he was tipped off on nonpublic information by his brother-in-law Scott Zeringue, a former executive with The Shaw Group before that company’s merger.
Zeringue previously pleaded guilty to criminal charges and has agreed to settle the SEC’s charges by paying his $32,006 illegal obtained profit plus a penalty of $64,012.
“Jesse will plead not guilty and his case will be vigorously defended,” said Shaun Clark, Roberts’ Houston attorney.
The Securities and Exchange Commission alleges while serving as vice president of construction operations at the Baton Rouge-based Shaw Group, Zeringue traded company securities based on confidential information he learned about an impending acquisition by Chicago Bridge & Iron Company.
In the weeks leading up to the public announcement of the merger, the SEC alleges Zeringue bought 125 shares of Shaw common stock and asked his brother-in-law Jesse Roberts III to also buy Shaw stock on his behalf.
Zeringue, Roberts and others subsequently tipped off by Roberts allegedly made nearly $1 million in combined illegal profits after the merger announcement caused the price of Shaw stock to increase by more than 55 percent.
Zeringue previously pleaded guilty to criminal charges and has agreed to settle the SEC’s charges by paying his $32,006 illegal obtained profit plus a penalty of $64,012.
The SEC alleges Roberts reaped more than $765,000 through trading call option contracts and others made more than $154,000 from trading based on his tips. Roberts rewarded Zeringue for the original tip by giving him $30,000 in cash in November 2013, the SEC alleges.
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Information from: The News-Star, https://www.thenewsstar.com
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