SAN DIEGO (AP) — A former senior executive at Qualcomm Inc. made nearly $250,000 in illegal profits from using inside information to buy stock in the wireless technology company and an acquisition target before major public announcements, according to an indictment that was unsealed Monday.
Jing Wang, former president of Qualcomm global business operations and an executive vice president, was charged with insider trading, money laundering, conspiracy, obstruction of official proceedings and aggravated identity theft. He voluntarily surrendered at FBI offices Monday.
Wang, 51, is accused of buying shares in three illegal trades — twice in Qualcomm and once in an acquisition target — from 2010 to 2012 through an account in the British Virgin Islands. Also charged were his brother, Bing Wang, 53, who lives in China, and Gary Yin, 54, a former Merrill Lynch stockbroker in San Diego.
Qualcomm, based in San Diego, placed Yang on administrative leave in May 2012 and launched an internal investigation of potential violations of the Foreign Corrupt Practices Act, according to the indictment. Qualcomm spokeswoman Christine Trimble said Wang resigned this May. She declined to comment on the reasons why or say how and when Qualcomm learned about the government's investigation.
"Qualcomm has been aware of the investigation and has been cooperating fully with the government's investigation. This is an individual matter involving Mr. Wang, who is no longer employed by Qualcomm, and this matter will now be addressed through the legal system," Don Rosenberg, Qualcomm's general counsel, said in a statement.
The Securities and Exchange Commission filed civil charges Monday against Wang and Yin, who was not in custody. Yin is accused of making $27,000 in illegal profits from the trades.