SEC charges six with insider trading in EBay-GSI merger
Washington, D.C. – The Securities and Exchange Commission has charged a former executive with insider trading in advance of EBay’s acquisition of the e-commerce company GSI Commerce where he worked, by tipping friends and relatives with confidential information about the pending deal so they could attain more than $300,000 in illegal profits.
The SEC alleges that Christopher Saridakis provided two family members and two friends with nonpublic information about the pending acquisition and encouraging them to trade on it. To settle the SEC’s charges, Saridakis agreed to an officer-and-director bar and must pay $664,822, which includes a penalty equal to twice the amount of his tippees’ profits. In a parallel action, the U.S. Attorney’s Office for the Eastern District of Pennsylvania today announced criminal charges against Saridakis, who lives in Delaware.
The five traders and the individual who entered into a non-prosecution agreement will pay a combined total of more than $490,000 in their settlements, which range from disgorgement-only or reduced penalties for cooperators to penalties of two or three times the trading profits for other traders. The SEC’s investigation is continuing into trading by other individuals.
“Although Saridakis’ tips spun a web of illegal trading, some of the downstream tippees substantially assisted in our investigation while others hindered it,” said Andrew J. Ceresney, director of the SEC’s Division of Enforcement. “The reduction in penalties for those tippees who assisted us, together with the non-prosecution agreement for one of the traders, demonstrate the benefits of cooperating with our investigations. The increased penalties for others highlight the risks of impeding our work.”
Crutchfield adopts new in-store pricing solution
Charlottesville, Va. – Crutchfield Corp. has adopted the new integrated 360pi-Displaydata solution to realize in-store dynamic pricing. 360pi is working with Displaydata to incorporate Electronic Shelf Labeling (ESL) to give physical stores the ability to employ dynamic pricing.
The new solution is designed to provide retailers with the ability to automate and increase the frequency of in-store price updates without the cost, time, effort and error associated with manual price changes
"We are committed to providing our customers with the best value, and the combination of 360pi’s best in class price intelligence with Displaydata’s electronic shelf labels, is central to our ability to deliver on this promise," said Jeff Bingaman, CIO, Crutchfield Corp. "We take care of the showrooming for our customers, which lets them focus on selecting the best product for their needs. Enhanced customer trust translates to increased store conversions, shortened sales cycles, and more repeat business."
Stein Mart promotes two execs to new role of president
Jacksonville, Fla. – The board of directors of Stein Mart Inc. has created the office of the president and have appointed D. Hunt Hawkins and Brian R. Morrow to share that office. Both will continue to report to Jay Stein, CEO.
Hawkins joined the company in 1994 as senior VP, HR. and has served as executive VP/COO in 2011. Morrow joined the company in 2010 as executive VP/chief merchandising officer. Prior to joining the company, Morrow served as senior VP/general merchandising manager with Macy’s North/Marshall Field’s from February 2005 to May 2008.
"Hunt and Brian have made significant contributions in the success of the Company," said Stein. "Their promotions are a testament to their leadership that has built a team that has produced seven consecutive quarters of comp store gains, a dramatic departure from the achievements of past management, and reflect the confidence the board and I have in them."