NEW YORK — A Monday report by Forbes said that former retail executive Mark Begelman has been charged with profiting off confidential information.
The SEC leveed insider trading charges against Begelman for allegedly using confidential information for his own gain, concerning the upcoming acquisition of Bluegreen Corp. by BFC Financial Corp. Begelman was COO for Office Depot, but left the company in 1995 to found Markee Recording and Rehearsal, a company geared toward musicians.
According to the report, Begelman learned of the acquisition through his membership in the World Presidents’ Organization, a group of current or former executives at major companies. He then is reported to have parlayed the information into more than $15,000 in illicit trading gains when the acquisition was announced.
Begelman had agreed to settle the charges, without admitting any wrongdoing, by disgorging the gains and paying a civil penalty in the amount of his gains.