ANALYSIS: Insider Trading—It’s All in the Family

The family that trades on inside information together, stays together!

The SEC filed a settled insider trading complaint against Matthew Brunstrum and his mother, Susan Brunstrum, in a federal district court in Illinois. According to the SEC complaint, Matthew Brunstrum learned that his employer, Stericycle, was about to announce disappointing first quarter earnings. The complaint does not specify how Brunstrum learned this information, but did state that he worked in close proximity to Stericycle’s management and accounting teams.

The Commission alleged that Brunstrum engaged in improper trading based on this information, and avoided losses and earned profits in the amount ...