FX.co ★ Former Nasdaq Director charged of insider trading

Former Nasdaq Executive Donald Johnson was sentenced by the Alexandria Circuit Court VA to three-and-a-half years jail for insider trading. It is reported by Associated Press.
In May 2011 Johnson pleaded guilty for stock trading on confidential information and obtaining 640 thousand dollars profit between 2006 and 2009. At the final court session, on August 12, Johnson owned to one more episode of using insider information having increased the illegal earnings to 750 thousand dollars.
It is reported that in 2007 during only one trading session Johnson succeeded to earn 175 thousand dollars. He received the information that United Therapeutics pharmaceutical company had obtained a license to produce new medicine and bought a portfolio of their shares and sold it after the official press-release was published.
Johnson had an access to the confidential information due to his position in the Nasdaq. In particular, being an Executive he consulted the companies about impact of important events on their share rates before the news were officially published. However, Johnson was officially prohibited to use this information for personal enrichment.
Being on the position of Executive Director of Nasdaq Johnson received a salary amounting to 141 thousand dollars a year.
The final term of imprisonment is almost equal to the one that prosecutors required. Defendant’s layers, in their turn, tried to shorten the period to 1.5 years. Johnson pleaded guilty and made an apology for his actions in the official letter to the Court