New York – The latest development in the case USA Vs Shimoon et al., took place last Tuesday when Walter Shimoon, 39, pleaded guilty of illegally providing investors with confidential information related to his employer, Flextronics. The investors, who were clients of expert network Primary Global Research (PGR), profited from acting on the information provided by Shimoon.
Reuters quoted Shimoon admitting that: “On these calls [arranged by PGR], I offered specific non-public information… I knew they used the information I provided in purchasing and selling securities.” Shimoon leaked non-public information on Apple’s iPad and the iPhone 4. He also revealed production schedules and sales forecasts for Flextronics provider Omnivision Technologies.
Court documents unsealed on Tuesday reveal that a customer of PGR’s, a hedge fund in New York, made $560,000 in profits by acting on information provided by Shimoon on Flextronics.
Shimoon was arrested last December and faces up to 30 years in prison after his sentencing. Shimoon is one of the 14 people related to PGR that have been implicated in insider trading investigations so far, including experts, research consultants, and investors. Also charged with Shimoon were former Primary Global executive James Fleishman, and Mark Anthony Longoria, who worked at Advanced Micro Devices and served as a consultant for PGR.
For a full report on the parties implicated in the insider trading investigations, please refer to our “Who’s Who in the Expert Network Investigations.” In that article we include the following information about Shimoon.
Walter Shimoon, a senior director of business development at Flextronics International, pleaded guilty July 5, 2011 to providing confidential information about Flextronics and Apple Inc. The complaint alleges that he was paid $22,000 for consultations occurring between January 2008 and June of 2010. Shimoon in court also admitted to being paid $27,500 by independent research firm Broadband Research (see John Kinnucan, below).