Tags: US | Investigating | 10b5-1 | Insider

US Investigating 10b5-1 Insider Stock Plans

Tuesday, 30 Apr 2013 07:26 PM

Cardiovascular Systems Inc., a medical device manufacturer, said Tuesday that it received requests for information from the U.S. government, following a news report the firm had been subpoenaed in a probe of corporate insider investment vehicles, or “10b5-1” plans.

The plans allow for corporate insiders with access to non-public information to trade in securities under pre-determined arrangements. CSI, based in St. Paul, Minnesota, said in a statement it is “readily providing” information requested.

“We have nothing to hide,” said Dave Folkens, a spokesman for the company. CSI isn’t “the target” of an investigation.

CSI has corporate governance procedures in place to prevent insider trading, Folkens said in the statement.

The report by the Wall Street Journal said the subpoenas came from New York federal prosecutors, citing an unidentified source.

Robert Nardoza, a spokesman for Brooklyn, New York, U.S. Attorney Loretta Lynch, and Ellen Davis, a spokeswoman for Manhattan U.S. Attorney Preet Bharara, declined to comment.

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Cardiovascular Systems Inc., a medical device manufacturer, said Tuesday that it received requests for information from the U.S. government, following a news report the firm had been subpoenaed in a probe of corporate insider investment vehicles, or "10b5-1 plans.
US,Investigating,10b5-1,Insider
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2013-26-30
Tuesday, 30 Apr 2013 07:26 PM
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