By Dow Jones Business News, October 23, 2013, 01:17:00 PM EDT
By Tess Stynes
A former Bristol-Myers Squibb Co. ( BMY ) executive who had pleaded guilty to securities fraud charges earlier this year
was sentenced to a year and a day in prison for transactions he made ahead of a planned acquisition by the drug maker,
according to the Justice Department.
Prosecutors in June said that as part of his plea in federal court in Trenton, N.J., Robert Ramnarine admitted to
trading ahead of the drug maker's 2012 acquisition of Amylin Pharmaceuticals Inc. and to reaping more than $311,000 in
illicit profits by trading on stock options of Amylin, as well as other Bristol-Myers acquisition targets.
Mr. Ramnarine had pleaded guilty to a single count of securities fraud and was facing up to 20 years in prison on the
In addition to the jail term, Mr. Ramnarine also was sentenced to two years of supervised release and fined $10,000,
according to the Justice Department. He also forfeited $324,777 to the U.S. Securities and Exchange Commission, the DOJ
Prosecutors and the SEC, in bringing criminal and civil cases in the matter last year, had alleged that Mr. Ramnarine
used his office computer to research insider trading and how to avoid detection, including reading a blog post entitled
"Ways to Avoid Insider Trading."
As an example, Mr. Ramnarine, after learning in November 2011 that Bristol-Myers had submitted a confidential bid to
acquire Pharmasset Inc., ran searches on Yahoo that included "insider trading options" and "illegal insider trading
options trace," according to the SEC.
He also allegedly read several articles on his work computer related to insider trading, including "Ways to Avoid
Insider Trading," "Types of Insider Trading" and "The Purpose of Insider Trading Laws."
The next day, he allegedly began purchasing call options in Pharmasset, according to the SEC. Pharmasset was
ultimately acquired by Gilead Sciences Inc. (GILD).
Federal prosecutors in New Jersey had also alleged that Mr. Ramnarine, whose duties at the company included evaluating
potential takeover targets, made illegal trades in May 2012 and June 2012 on secret information about a planned takeover
of Amylin by his company.
Mr. Ramnarine, of East Brunswick, N.J., once served as a "high-level executive" in the company's treasury department,
was terminated by the company in August 2012, shortly after his arrest.
Write to Tess Stynes at firstname.lastname@example.org
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
Copyright (c) 2013 Dow Jones & Company, Inc.