Ontrak’s Peizer Charged by US Over Prearranged Stock Sales (2)

<-rte-company state="{"_id":"00000186-a235-d607-afef-be3f84fb0000","_type":"00000160-4b23-d8bd-adfd-4b3348fd0000"}">Ontrak Inc. Chief Executive Officer <-bsp-person state="{"_id":"00000186-a235-d607-afef-be3f84fb0001","_type":"00000160-6f41-dae1-adf0-6ff519590003"}">Terren Peizer was charged with criminal securities fraud by US authorities for allegedly using prearranged stock-sale plans to avoid losses on his holdings before a major customer left the health-care firm.

The insider-trading case is the first to be brought as a result of the <-bsp-bb-link state="{"bbHref":"bbg://securities/4131761Z%20US%20Equity","_id":"00000186-a235-d607-afef-be3f84fc0000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Justice Departmentand <-bsp-bb-link state="{"bbHref":"bbg://securities/13165Z%20US%20Equity","_id":"00000186-a235-d607-afef-be3f84fc0001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Securities and Exchange Commission’s sweeping investigation of C-suite officials who allegedly have been gaming the prearranged programs, which are supposed to head off improper trading on inside information.

The indictment on insider-trading charges was unsealed Wednesday, the US Justice Department said in a statement. The SEC ...