SEC Charges Couple With Insider Trading on Confidential Clinical Trial Data

The Securities and Exchange Commission today charged a New York-based couple with insider trading in the stock of the pharmaceutical company where one of them worked as a clinical trial project manager. The defendants have agreed to pay more than $325,000 to settle the charges. According to the SEC’s complaint, Holly Hand was the senior project manager overseeing a clinical drug trial for a company then known as Neuralstem Inc. As alleged, after Hand learned of negative efficacy results from the trial, she tipped Chad Calice, who then sold all of his Neuralstem stock ahead of the public announcement of the negative news. The complaint alleges that while selling his shares, Calice tipped off his uncle, who then also sold his entire Neuralstem position that day.