WASHINGTON (CN) – Bonzana Capital, a $500 million hedge fund, used inside information about a Radyne ComStream PIPE offering to sell the stock short, the SEC says. It claims Bonzana analyst Brian Ladin suggested the scheme.
Radyne share price declined, as expected, after it announced its PIPE (Private Investment in Public Equity) offering, the Commission says. It also accuses Ladin of lying about Bonanza’s short position the day after short-selling 100,000 shares.
Radin, 36, lives in Dallas. Bonanza is based in Dallas and the Cayman Islands.