Former CEO Sentenced to 3.5 Years for Insider Trading Scheme
Originally Published 6 months ago — by New York Post
Terren Peizer, a protégé of Michael Milken, was sentenced to 3.5 years in prison and fined for insider trading involving the use of SEC Rule 10b5-1 trading plans to sell $20 million of shares at times when he knew the company's relationship with Cigna was deteriorating, leading to a significant drop in stock price. Peizer plans to appeal, claiming the case was an overreach.