U.K. businessman Taher Suterwalla charged with insider trading

By: Aahren S.

The SEC charged a British citizen Taher Suterwalla with insider trading ahead of the announcement that a pet supply chain store would be purchased by two private equity companies.

The Securities and Exchange Commission has charged a British citizen with insider trading ahead of the announcement that a pet supply chain store would be purchased by two private equity companies.London resident Taher Suterwalla was said to have made insider trades in the stock of San Diego-based Petco Animal Supplies Inc. within 17 days of the announcement that it would be purchased by two private equity companies.
The SEC identified Mr. Suterwalla as “one or more unknown purchasers” of Petco in the complaint that was filed three days after the Petco acquisition announcement.
The proceeds from the trading have been frozen ever since as a result of a court order granted in response to the Commission’s emergency request.
The United States District Court for the Southern District of California entered has frozen approximately $862,000 in assets and issued orders that prohibit the defendants from destroying evidence.
The SEC is seeking a permanent injunction, disgorgement of ill-gotten gains with prejudgment interest and the levying of civil penalties.