Milwaukee Fraud: Securities fraud tied to Quad employee
For the second time in recent history, illegal stock trading has been tied to an employee of Quad/Graphics Inc. It is alleged that a securities broker had an employee steal copies of unpublished BusinessWeek issues, and used information from the “Inside Wall Street” column to make some stock trades.
Specifically, it is alleged that broker David Pajcin used BusinessWeek information to make 10 trades. Each of those 10 trades saw Pajcin selling his stocks the day before the magazine became available to the public.
Quad says that it has safeguards in place, both electronic and physical, to protect the copies of BusinessWeek before they hit the newsstands.
The last time Quad employees snagged advance copies of BusinessWeek, they got themselves prison sentences.
Story here.
