An ex-bank researcher and senior manager at the Federal Reserve Bank of Richmond (FRBR) could spend decades behind bars for using confidential information to trade shares of US banks.
The United States Department of Justice (DOJ) say Former FRBR top official Robert Brian Thompson has pleaded guilty to one count of insider trading and one count of making false statements.
The DOJ says Thompson abused his position and misused confidential surveillance information to effect 69 trades involving shares of seven unnamed financial institutions. According to the DOJ, Thompson’s trading activities earned him personal profits of $771,678.
To help conceal his insider trading, Thompson made fraudulent entries on his Form D, saying he owned no stock in a publicly traded financial institution. He also said he had not engaged in conduct that represented a conflict of interest or a violation of FRBR law or policy.
The Fed’s Form D requires employees to disclose whether they own assets, including stock in the banks registered with the Federal Reserve System.
The DOJ says the fraud occurred between October 2020 and February 2024.
For his actions, Thompson faces a maximum sentence of 20 years in prison for one count of insider trading and five years for one count of making false statements on his Form D.
Thompson will be sentenced on March 19, 2025.
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