The Securities and Exchange Commission lost its second insider-trading trial in the space of seven days, when a federal jury on Friday cleared a former chief executive of a California chip maker.
The SEC filed a civil suit against Manouchehr Moshayedi in 2012, alleging he traded on inside information and made false and misleading statements in connection with the sale of $268 million of STEC Inc. stock owned by him and his brother, also a founder of the company. His brother wasn’t accused of any wrongdoing. ...
The loss adds to the SEC’s recent mixed record on civil insider-trading cases. The agency Wednesday dismissed its case against Atlanta businessman Parker H. Petit and last week the SEC lost an insider-trading trial against hedge-fund manager Nelson J. Obus.