Former Pharmaceutical Executive And Doctor Sentenced For Insider Trading Around Alexion Pharmaceuticals’ Acquisition Of Portola Pharmaceuticals
Joseph Dupont, a former vice president at Alexion Pharmaceuticals, and Slava Kaplan, a doctor, were sentenced for insider trading surrounding Alexion's acquisition of Portola Pharmaceuticals
Joseph Dupont, a former vice president at Alexion Pharmaceuticals, and Slava Kaplan, a doctor, were sentenced for insider trading surrounding Alexion's acquisition of Portola Pharmaceuticals. Dupont misappropriated deal information and tipped Kaplan, who used the information to trade and tip others, resulting in millions of dollars in illegally obtained trading profits. Dupont was fined $75,000 and sentenced to three years' probation, while Kaplan was sentenced to five months in prison, three years of supervised release, and ordered to forfeit $472,053.61. They were charged with securities fraud and pled guilty in September 2023.
Joseph Dupont, a former vice president at Alexion Pharmaceuticals, and Slava Kaplan, a doctor, were sentenced for insider trading surrounding Alexion's acquisition of Portola Pharmaceuticals. Dupont misappropriated deal information and tipped Kaplan, who used the information to trade and tip others, resulting in millions of dollars in illegally obtained trading profits. Dupont was fined $75,000 and sentenced to three years' probation, while Kaplan was sentenced to five months in prison, three years of supervised release, and ordered to forfeit $472,053.61. They were charged with securities fraud and pled guilty in September 2023. Former Alexion Pharmaceuticals executive Joseph Dupont and associate Slava Kaplan were sentenced for insider trading related to Alexion’s 2020 acquisition of Portola Pharmaceuticals. Dupont, who misappropriated material non-public information about the deal, tipped Kaplan and a friend, who then traded on the information and further disseminated it to others. Kaplan and his associates reaped over $472,000 in illegal profits after Portola’s stock surged following the public announcement on May 5, 2020. Dupont was sentenced to three years’ probation and fined $75,000, while Kaplan received five months in prison, three years of supervised release, and was ordered to forfeit $472,053.61. Both pled guilty to securities fraud in September 2023, with the case prosecuted by the Southern District of New York and supported by the FBI and SEC. Former Alexion Pharmaceuticals executive Joseph Dupont and physician Slava Kaplan were sentenced for insider trading related to Alexion’s 2020 acquisition of Portola Pharmaceuticals. Dupont, who learned of the pending deal in January 2020, misappropriated material non-public information and tipped Kaplan and others, who then traded on the information and further disseminated it. After the acquisition was announced on May 5, 2020, Portola’s stock surged, enabling Kaplan and associates to profit over $472,000 illegally. Dupont received three years’ probation and a $75,000 fine, while Kaplan was sentenced to five months in prison, three years of supervised release, and ordered to forfeit $472,053.61. Both pled guilty in September 2023, with the DOJ and SEC pursuing parallel criminal and civil actions.
Extracted insights
- $472K $472,053 $100K–$1M
- $75K $75,000 $10K–$100K
- person alexion pharmaceuticals
- person deal information
- person joseph dupont
- person portola pharmaceuticals
- agency Securities and Exchange Commission
- person slava kaplan
- scheme_term to securities fraud
- Joseph Dupont was sentenced to three years' probation and five months in prison
- Slava Kaplan was sentenced to three years' probation and five months in prison
- Joseph Dupont was fined $75,000
- Slava Kaplan was ordered to forfeit $472,053.61
- Slava Kaplan was sentenced to three years of supervised release
- Joseph Dupont misappropriated deal information
- Slava Kaplan used misappropriated information to trade
- Alexion Pharmaceuticals acquired Portola Pharmaceuticals
- Joseph Dupont tipped another individual
- Slava Kaplan tipped others
- Joseph Dupont pled guilty to securities fraud
- Slava Kaplan pled guilty to securities fraud
- U.S. Securities and Exchange Commission filed a parallel civil action
Press Release Former Pharmaceutical Executive And Doctor Sentenced For Insider Trading Around Alexion Pharmaceuticals’ Acquisition Of Portola Pharmaceuticals Friday, January 5, 2024 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Joseph Dupont, Former Vice President of Alexion, Misappropriated Deal Information and Tipped Another Individual; Slava Kaplan Used Misappropriated Information to Trade and to Tip Others Damian Williams, the United States Attorney for the Southern District of New York, announced today that JOSEPH DUPONT and SLAVA KAPLAN, a/k/a “Stanley Kaplan,” were sentenced to three years’ probation and five months in prison, respectively, for securities fraud in connection with their participation in an insider trading scheme surrounding the announcement of Alexion Pharmaceutical, Inc.’s acquisition of Portola Pharmaceuticals, Inc. DUPONT and KAPLAN were arrested June 2023 and pled guilty before U.S. District Judge Gregory H. Woods in September 2023. U.S. Attorney Damian Williams said: “This Office continues to keep a watchful eye over Wall Street, and we will work quickly to prosecute those who choose to cheat to make a quick buck. These sentences reflect our commitment to ensuring fairness in the stock market and combatting corruption.” According to the allegations in the Indictment and statements made in public court proceedings: In 2020, DUPONT, KAPLAN, and others engaged in an insider trading scheme surrounding the announcement of Alexion’s acquisition of Portola. DUPONT was a vice president at Alexion and, on January 31, 2020, was informed of Alexion’s upcoming acquisition of Portola. Before that acquisition was publicly announced, in April 2020, DUPONT provided material, non-public information (“MNPI”) that he misappropriated from Alexion about the acquisition to a friend so that the friend could use the information to trade profitably in securities. In turn, DUPONT’s friend provided KAPLAN, who was also known to DUPONT, the MNPI about Portola’s pending acquisition, both so that KAPLAN could trade in advance of the acquisition and so that KAPLAN would assist DUPONT’s friend in formulating trading strategies to maximize DUPONT’s friend’s own trading profits. KAPLAN further shared MNPI about the upcoming acquisition with a family member and a friend and colleague. After Alexion’s acquisition of Portola was publicly announced on the morning of May 5, 2020, causing Portola’s stock price to increase significantly, KAPLAN and others who had purchased shares and options based on DUPONT’s inside information sold their shares of Portola and call options for Portola stock, reaping millions of dollars of illegally obtained trading profits. * * * Additionally, JOSEPH DUPONT, 45, of Rehoboth, Massachusetts, was fined $75,000. SLAVA KAPLAN, 45, of Hopewell Junction, New York, was sentenced to three years of supervised release and was ordered to forfeit $472,053.61. Mr. Williams praised the outstanding work of the Federal Bureau of Investigation. Mr. Williams also thanked the U.S. Securities and Exchange Commission, which has filed a parallel civil action. This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Margaret Graham, Sarah Mortazavi, and Samuel P. Rothschild are in charge of the prosecution. Contact Nicholas Biase (212) 637-2600 Updated January 5, 2024 Topic Securities, Commodities, & Investment Fraud Component USAO - New York, Southern Press Release Number: 24-004
Press Release Former Pharmaceutical Executive And Doctor Sentenced For Insider Trading Around Alexion Pharmaceuticals’ Acquisition Of Portola Pharmaceuticals Friday, January 5, 2024 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Joseph Dupont, Former Vice President of Alexion, Misappropriated Deal Information and Tipped Another Individual; Slava Kaplan Used Misappropriated Information to Trade and to Tip Others Damian Williams, the United States Attorney for the Southern District of New York, announced today that JOSEPH DUPONT and SLAVA KAPLAN, a/k/a “Stanley Kaplan,” were sentenced to three years’ probation and five months in prison, respectively, for securities fraud in connection with their participation in an insider trading scheme surrounding the announcement of Alexion Pharmaceutical, Inc.’s acquisition of Portola Pharmaceuticals, Inc. DUPONT and KAPLAN were arrested June 2023 and pled guilty before U.S. District Judge Gregory H. Woods in September 2023. U.S. Attorney Damian Williams said: “This Office continues to keep a watchful eye over Wall Street, and we will work quickly to prosecute those who choose to cheat to make a quick buck. These sentences reflect our commitment to ensuring fairness in the stock market and combatting corruption.” According to the allegations in the Indictment and statements made in public court proceedings: In 2020, DUPONT, KAPLAN, and others engaged in an insider trading scheme surrounding the announcement of Alexion’s acquisition of Portola. DUPONT was a vice president at Alexion and, on January 31, 2020, was informed of Alexion’s upcoming acquisition of Portola. Before that acquisition was publicly announced, in April 2020, DUPONT provided material, non-public information (“MNPI”) that he misappropriated from Alexion about the acquisition to a friend so that the friend could use the information to trade profitably in securities. In turn, DUPONT’s friend provided KAPLAN, who was also known to DUPONT, the MNPI about Portola’s pending acquisition, both so that KAPLAN could trade in advance of the acquisition and so that KAPLAN would assist DUPONT’s friend in formulating trading strategies to maximize DUPONT’s friend’s own trading profits. KAPLAN further shared MNPI about the upcoming acquisition with a family member and a friend and colleague. After Alexion’s acquisition of Portola was publicly announced on the morning of May 5, 2020, causing Portola’s stock price to increase significantly, KAPLAN and others who had purchased shares and options based on DUPONT’s inside information sold their shares of Portola and call options for Portola stock, reaping millions of dollars of illegally obtained trading profits. * * * Additionally, JOSEPH DUPONT, 45, of Rehoboth, Massachusetts, was fined $75,000. SLAVA KAPLAN, 45, of Hopewell Junction, New York, was sentenced to three years of supervised release and was ordered to forfeit $472,053.61. Mr. Williams praised the outstanding work of the Federal Bureau of Investigation. Mr. Williams also thanked the U.S. Securities and Exchange Commission, which has filed a parallel civil action. This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Margaret Graham, Sarah Mortazavi, and Samuel P. Rothschild are in charge of the prosecution. Contact Nicholas Biase (212) 637-2600 Updated January 5, 2024 Topic Securities, Commodities, & Investment Fraud Component USAO - New York, Southern Press Release Number: 24-004