WASHINGTON, September 28 — The Securities and Exchange Commission issued the following litigation release (#2: 18-cv-03695; ED Pa. filed August 29, 2018) involving Kendricks et al., Mark Wayne Ramsey:
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On August 30, 2022the United States District Court for the Eastern District of Pennsylvania issued final judgments against Damilare Sonoiki, a former investment banking analyst, and Mark Wayne Ramseywho was a friend, roommate and business partner of a former professional footballer Mychal Kendricks.
According to DRY complaint filed on August 29, 2018, Sonoiki gave Kendricks confidential, nonpublic information about several upcoming corporate mergers. The complaint alleges that by trading on this information prior to the merger announcements, Kendricks realized approximately $1.2 million in illegal profits. According to DRY complaint filed on May 21, 2019Ramsey also participated in the insider trading scheme by obtaining material, nonpublic information from Sonoiki regarding corporate acquisition targets and placing illegal trades in Kendricks’ trading account.
Both Sonoiki and Ramsey have been criminally charged by the U.S. Attorney’s Office for the Eastern District of Pennsylvania. Sonoiki pleaded guilty to securities fraud and conspiracy to commit securities fraud and was sentenced to one month in prison, three years of probation, a fine of $5,000and confiscation of $10,000. Ramsey was found guilty at trial of securities fraud and conspiracy to commit securities fraud. Ramsey was sentenced to 60 days in prison, three years of probation and a fine of $5,000.
Both Sonoiki and Ramsey have consented to the entry of final judgments permanently enjoining them from violating the anti-fraud provisions of Sections 10(b) and 14(e) of the Securities Exchange Act of 1934 and Rules 10b-5 and 14e -3 thereunder and ordering Sonoiki to pay a civil penalty of $15,000.
Moreover, on September 19, 2022the Commission issued an administrative order, on consent, prohibiting Sonoiki from associating with any broker, trader, investment adviser, municipal securities dealer, municipal councilor, transfer agent or nationally recognized statistical rating organization, or participate in any Penny Stock offering.
The litigation was conducted by Christopher R. Kelly and supervised by Gregory R. Bockin in the DRY philadelphia cream Regional office. The DRY the investigation that led to these actions was conducted by Rachel Clarke and Patrick McCluskey of the Market Abuse Unit (“MAU”) in the philadelphia cream Regional Office, with the assistance of John Rymas of the MAU Analysis and Detection Center. The case was overseen by the head of the MAU Joseph G. Sansoneand Scott A.Thompson, Associate Regional director of the philadelphia cream Regional office.
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Original text here: https://www.sec.gov/litigation/litreleases/2022/lr25524.htm