Paul T. Rampoldi and William S. Blythe III, were named Respondents in a Securities and Exchange Commission (SEC) complaint that alleges the two participated in an insider trading scheme to profit in advance of two major pharmaceutical company announcements. The insider trading case involved the securities Ardea Biosciences, Inc. (Ardea), a California-based biotechnology company.
The SEC alleged, in advance of several announcements between April 2009 and April 2012, Michael J. Fefferman, who was Ardea’s Senior Director of Information Technology, tipped his brother-in-law nonpublic information concerning an agreement between Ardea and another company to license a cancer drug and an acquisition of Ardea by AstraZeneca PLC (AstraZeneca). This information eventually came to Mr. Rampoldi, for which the SEC alleges, he used along with his friend Mr. Blythe to illicit profits by trading ahead of the pharmaceutical announcements. Hopefully, Mr. Rampoldi and Mr. Blythe have obtained skilled representation because they have a battle on their hands.