PITTSBURGH (CN) – A senior vice president at Dick’s Sporting Goods tipped a friend that Dick’s was about to buy Gaylan’s Trading Co., and the friend tipped five other friends, the SEC claims in Federal Court. The inside traders allegedly netted $274,614 by buying Gaylan’s shares ahead of the announcement.
The SEC sued Dick’s former Senior Vice President of Real Estate, Joseph Queri Jr. Queri allegedly tipped his pal Gary M. Gosson on June 13, 2004. Gosson then allegedly tipped his six of his friends. They collectively netted $274,614, and some of them kicked some back to Gosson, the SEC says.
Gaylan’s share price jumped from $11.10 to $16.68 the day of the announcement.
Queri left Dick’s in January 2005, the complaint states.