A former partner at a Philadelphia law firm has been charged with insider trading linked to a client’s merger with another insurance firm.
Federal prosecutors have charged Herbert Sudfeld with making $75,000 by purchasing stock in Harleysville Insurance the day before its merger with Nationwide.
The 64-year-old Sudfeld, of Doylestown, is charged with securities fraud and lying to the FBI.
Defense lawyer Robert Welsh Jr. tells The Legal Intelligencer that Sudfeld will plead not guilty at his arraignment next week.
The indictment Thursday accuses the former Fox Rothschild partner of buying 3,000 shares of Harleysville stock the day before the companies merged and the stock doubled.
Fox Rothschild chairman Abe Reich says Sudfeld left the firm three years ago. He says the firm has zero tolerance for the violations alleged.
Was this article valuable?
Here are more articles you may enjoy.
Senate Says Climate Is Driving Insurance Non-renewals; Industry Strikes Back 
Jane Street-Millennium Trade Secrets Fight Ends in Settlement 
Amazon Ignored Its Own Worker Safety Studies, Senate Report Says 
Texas Accuses Allstate-Owned Arity of Data Privacy Violations 
Want to stay up to date?
Get the latest insurance news
sent straight to your inbox.