SEC Charges Former Financial Industry Analyst and Three Others with Insider Trading

The Securities and Exchange Commission (SEC) has filed charges against four individuals, including Anthony Viggiano, a former analyst at a prominent investment firm and later at an international investment bank, along with Christopher Salamone, Stephen A. Forlano, and Nathan Bleckley. These charges relate to insider trading activities in advance of several merger and acquisition transactions.

According to the SEC’s complaint, Anthony Viggiano, during his tenure at two financial institutions, gained access to material nonpublic information regarding impending merger and acquisition transactions and strategic partnerships before their public announcements. Viggiano, who resides in Baldwin, New York, is alleged to have acquired such information for eight transactions in total. He then tipped off his friend Christopher Salamone, who has known Viggiano for approximately 20 years and also resides in Long Beach, New York, about at least six of these transactions. Salamone is accused of trading in advance of these six transactions, yielding proceeds of approximately $322,000. Salamone purportedly agreed to share his trading gains with Viggiano because Viggiano’s employer prohibited him from participating in such trades.

The complaint further outlines that Viggiano tipped off his college friend, Stephen A. Forlano, about at least four transactions. Forlano, who resides in Tampa, Florida, is alleged to have made approximately $113,000 in illicit profits by trading in advance of three of those transactions. Forlano is also accused of tipping off other individuals, including his college friend Nathan Bleckley, a resident of Altus, Oklahoma, who traded ahead of two transactions, resulting in illegal gains of nearly $25,000.

The SEC’s Market Abuse Unit’s Analysis and Detection Center played a pivotal role in uncovering this case, utilizing data analysis tools to detect suspicious trading patterns.

Joseph Sansone, Chief of the SEC’s Market Abuse Unit, commented on the matter, stating, “As alleged in our complaint, Anthony Viggiano violated his employers’ trust by misusing his access to confidential information to repeatedly and unjustly enrich himself and his friends. The SEC is focused on detecting misconduct by financial industry professionals, and we will continue to use our resources to bring them to justice and bar them from the securities industry when appropriate.”

The SEC’s complaint, filed in the U.S. District Court for the Southern District of New York, charges Viggiano, Salamone, Forlano, and Bleckley with violating federal securities laws’ antifraud provisions. The SEC seeks various remedies, including injunctive relief, disgorgement along with prejudgment interest, and civil penalties.

In a parallel action, the U.S. Attorney’s Office for the Southern District of New York has also announced criminal charges against Viggiano, Forlano, and Salamone.

If you suspect your advisor mismanaged your money or committed negligence or fraud, call Sonn Law Group for a free consultation at 833-912-3000 today.