The Latest: Minnesota firm says charged VP left company
CHICAGO (AP) - The Latest on nine charged in alleged insider trading involving Minnesota-based fitness company (all times local):
3:50 p.m.
A Minnesota-based fitness firm says a one-time executive accused of insider trading no longer works there.
A federal indictment unsealed in Chicago on Friday charges former Life Time Fitness Inc. executive Shane Fleming and eight others with conspiracy and securities fraud. They're accused of using insider information to buy stocks before the company's sale pushed share prices higher.
Life Time Fitness spokesman Jason Thunstrom says Fleming hasn't worked for the company since last year but declined to elaborate. He said Life Time Fitness has cooperated with authorities.
Prosecutors say Fleming allegedly passed the insider tip to a friend. The friend then told his girlfriend and other friends.
The indictment says the suspects made nearly $900,000 in illegal profits buying shares.
Court records Friday didn't include the name of an attorney for Fleming.
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12:10 p.m.
An executive at a major Minnesota-based fitness firm and eight others are accused in a new federal indictment of using insider information to scoop up stocks before word of the company's sale in 2015 pushed share prices higher.
A Friday statement from the U.S. attorney's office in Chicago says the suspects made nearly $900,000 in illegal profits buying shares in Life Time Fitness Inc. earlier in 2015. Its vice president for corporate sales, Shane Fleming, allegedly passed the insider tip to a friend. The friend then told his girlfriend and other friends.
The share price soared from around $58 to around $70 within just days in March 2015 after a newspaper first reported the company's pending sale.
Messages seeking comment from Fleming and Life Time Fitness weren't returned.