Action against Defendants, internal auditors at a paper company and a hospitality company, for alleged insider trading.  According to the SEC, Defendant paper company auditor learned material nonpublic information about a planned acquisition by his employer, purchased shares while in possession of that information, and tipped a relative about the upcoming acquisition.  According to the SEC, this Defendant also learned material nonpublic information from the other Defendant auditor and similarly bought shares in that company while in possession of that information.  Defendant paper company auditor has agreed to pay disgorgement of $122,574, prejudgment interest of $21,341, and a civil penalty of $125,134.  Defendant hospitality company auditor has agreed to pay disgorgement of $122,574, prejudgment interest of $125,134, and a civil penalty of $15,150.

SEC Complaint

SEC Litigation Release