A Mississauga, Ont. man who tipped a childhood friend to a pending acquisition by his company has settled with regulators.
The Ontario Securities Commission (OSC) has Tuesday approved a settlement with Satish Talawdekar, who tipped a childhood friend, Anand Hariharan, to a pending acquisition by MacDonald, Dettwiler & Associates Inc. (TSX:MDA).
Talawdekar was employed as a manager in the IT department of MDA’s Brampton, Ont. offices when he became aware of the acquisition before there was general disclosure by MDA.
Under the settlement, Talawdekar is banned from trading for 10 years, and prohibited from becoming a registrant, an investment fund manager, promoter, or director or officer for 10 years. He also agreed to disgorge the $11,673.60 in profits obtained through trading in MDA stock with knowledge of the pending deal; and to pay an administrative penalty of $23,000 for his improper trading. In addition, he must pay a penalty of $55,326.40 for providing the tip to Hariharan, plus $5,000 in costs.
The settlement notes that Talawdekar is “very remorseful for his conduct”; and, it says, he is “unlikely to repeat” it.
Hariharan has already settled with regulators for trading on that information.