Barclays Director Accused of Giving Insider Tips to a Plumber to Remodel His Bathroom

[nitpicker]

http://fortune.com/2016/05/31/barclays-insider-trading-plumber/

Barclays Director Accused of Giving Insider Tips to a Plumber to Remodel His Bathroom

Lucinda Shen
@ShenLucinda
May 31, 2016, 3:53 PM EDT

A former Barclays ( barclays-plc ) director who allegedly gave his plumber illicit tips in exchange for remodeling his bathroom and cash was charged with insider trading on Tuesday.

According to the Securities and Exchange Commission, Barclays director Steven McClatchey gave his plumber friend, Gary Pusey, who has also been charged with insider trading, illicit tips on 10 different occasions ahead of public mergers and acquisitions announcements. According to people familiar with the matter, McClatchey was more of an office administrator who didn’t work with clients or manage transactions.

The information, which included deals involving CVS Health ( CVS -0.51% ) and PetSmart ( PETM 0.00% ) , allowed Pusey to net about $76,000 since early 2014, according to the complaint. In return, Pusey allegedly offered his services for remodeling McClatchey’s bathroom free of charge, and paid McClatchey thousands in cash, which was typically placed in McClatchey’s gym bag while the two were at the marina where the two kept their fishing boats, or handed to him in his garage.

The SEC says McClatchey gained access to the information because one of his job responsibilities was to collect information about potential mergers and acquisitions related to Barclays’ clientele. Specifically, McClatchey was responsible for distributing an internal memo called the “M&A Global Weekly Business Update,” which listed deals that would likely go public soon.
(snip)

[nitpicker]

1. Link to the DoJ PR

https://www.justice.gov/usao-sdny/pr/investment-bank-director-charged-manhattan-federal-court-insider-trading

[Dustlawyer]

2. One down, thousands to go!

Notice he was not a big wig, just a sacrificial lamb.