Vlad Spivnak Charged with Insider Trading

SEC Defense
The SEC has announced charges against Vlad Spivnak for insider trading in the stock of American Dental Partners, Inc. (ADPI), a dental practice management company. The complaint alleges that Spivnak received the private information from his girlfriend at the time, Shirmila Doddi, who was a financial analyst at a commercial bank. After acquiring the confidential information from Doddi, Spivnak is alleged to have traded in the securities of ADPI, based on the tips provided by Doddi. The SEC claims that Doddi obtained the material, private information throughout her employment regarding an impending acquisition of ADPI by a private equity firm. The complaint claims that after the public announcement of the acquisition, the price of ADPI stock rose by 79%, and Spivnak realized profits of more than $222,000 from the accounts opened in his name and his mother’s name. However, Doddi did not trade in ADPI stock.

The SEC has charged Spivnak and Doddi with violating Section 10(b) of the Securities Exchange Act and Rule 10b-5 thereunder, which are antifraud provisions of the federal securities laws. Without admitting or denying the allegations in the SEC’s complaint against her, Doddi has consented to the entry of a judgment that permanently enjoins her from future violations of Section 10(b) and Rules 10b-5 and orders further proceedings for the purposes of determining the appropriate amount of disgorgement, prejudgment interest thereon, and civil penalties. The settlement with Doddi is subject to approval by the Court.

For further information about this securities law blog post, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton, Florida, (561) 416-8956, by email at [email protected] or visit www.securitieslawyer101.com.   This securities law blog post is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute, legal and compliance advice on any specific matter, nor does this message create an attorney-client relationship. Please note that the prior results discussed herein do not guarantee similar outcomes.

Hamilton & Associates | Securities Lawyers
Brenda Hamilton, Securities Attorney
101 Plaza Real South, Suite 202 North
Boca Raton, Florida 33432
Telephone: (561) 416-8956
Facsimile: (561) 416-2855