LAFAYETTE – A Lafayette individual is accused of unlawful insider trading regarding the sock of a Louisiana-based energy construction company.
United States Securities and Exchange Commission filed a complaint on June 6 in the U.S. District Court for the Western District of Louisiana, Lafayette Division against the defendant alleging that consulting firm owner violated the provisions of the Securities Exchange Act.
According to the complaint, in 2012, Trahan obtained confidential information from a Shaw Group Inc. employee and used the information to personally profit by purchasing 5,600 shares of Shaw common stock and later selling it after the announcement of a merger. The suit states Traham was the owner of Petra Consultants during this time period and was a consultant to Shaw.
The plaintiff holds Trahan responsible because the defendant allegedly failed to keep information confidential, purchased common stock shares and then selling the stock after the announcement for profits of $69,735.
The plaintiff requests a trial by jury and seeks to restrain and enjoin the defendant from violating the Exchange Act, ordering disgorgement, prejudgment interest, and a civil penalty against defendant and all further relief as the court may determine to be just. It is represented by Derek S. Bentsen, Melissa R. Hodgman and Melissa A. Robertson of Securities and Exchange Commission in Washington, D.C. and Alexander C. Van Hook and Karen J. King of U.S. Attorney's Office Western District of Louisiana in Lafayette.
U.S. District Court for the Western District of Louisiana, Lafayette Division case number 6:17-cv-00731