Former Medtronic consultant, 2 others charged with reaping insider trading windfall
July 8, 2022
Federal authorities in Minnesota are alleging in criminal and civil cases that three Twin Cities businessmen and friends acted on an illegal tip and made insider securities trades involving medical device giant Medtronic's purchase of Mazor Robotics. The men made several hundreds of thousands of dollars in barely a month's time.
The federal Securities and Exchange Commission (SEC) on Wednesday sued former Medtronic consultant Doron A. Tavlin, rug retailer Afshin Farahan and insurance agent David Gantman. The regulatory agency is asking the court to compel the men to "disgorge all funds received from their illegal conduct" with interest and to be subject to civil penalties.
Parallel felony criminal proceedings against the men, filed last week in U.S. District Court in St. Paul, include 16 counts of aiding and abetting securities fraud and one count of conspiracy.