Tuesday, January 15, 2008
A new year, and a new insider trading scandal -- the SEC today charged two former San Francisco-area employees of PricewaterhouseCoopers LLP (PwC) with insider trading. According to the Commission’s complaint, Gregory B. Raben, 30, a former PwC auditor, and William Patrick Borchard, 28, a former senior associate in PwC’s Transaction Services Group, used their access to sensitive information about PwC’s clients to allow Raben to buy stock ahead of a series of corporate takeovers. Without admitting or denying the allegations, Raben and Borchard agreed to a settlement including monetary penalties. The pair’s scheme was uncovered in October 2006 by PwC’s Office of General Counsel, which referred the matter to the Commission and cooperated with the SEC staff’s investigation.