Former VP of Pharmaceutical Company Admits to Insider Trading

George Demos, then-vice president at Acadia Pharmaceuticals, pleaded guilty to illegally selling 60,000 company shares, avoiding a $1.3 million loss by acting on insider knowledge about the labeling process for a prescription drug with the Food and Drug Administration, the Justice Department announced Friday.

According to the DOJ, Demos admitted that he had access to material information about drug approval and labeling process with the FDA before it was public. He sold his shares just two hours before negative news about the labeling process of one of the company’s drugs became public, avoiding a 45% drop in stock price. ...