On Aug. 29, SEC charged NFL player and banker re insider trading.
- Mychal Kendricks given illegal tips by Damilare Sonoiki, investment bank analyst.
- The professional football player began to receive illegal tips, after they met at a party.
- Sonoiki had access to confidential, nonpublic information, for upcoming mergers.
- Trading scheme facilitated with coded text messages and FaceTime conversations.
- Kendricks made $1.2mn from buying stock in firms that were soon to be acquired.
- Sold position after deals were announced, netted 400% return on one investment.
- Kendricks rewarded Sonoiki for tips by setting up online brokerage both could use.
- Sonoiki received kickbacks, NFL tickets, and evening on the set of pop star video.
- SEC sought returns of defendant ill-gotten trading profits plus interest, penalties.