Edward J. Marino of Boston, Massachusetts, former chief executive officer of Connecticut-based Presstek, Inc., settled with SEC on charges that he aided and abetted Presstek’s violations of Section 13(a) of the Securities Exchange Act of 1934 (Exchange Act) and Regulation FD thereunder. Regulation FD generally prohibits public companies from selectively disclosing material non-public information to certain investors without simultaneously disclosing it to all investors.
Presstek is a manufacturer and distributor of high-technology digital imaging equipment. The SEC alleged that on September 28, 2006, while acting on behalf of Presstek, Marino selectively disclosed material non-public information regarding Presstek's financial performance during the third quarter of 2006 to a partner of a registered investment adviser. According to the SEC, within minutes of receiving the information from Marino, the partner decided to sell all of the shares of Presstek stock managed by the investment adviser. The SEC stated that Presstek violated Section 13(a) of the Exchange Act and Regulation FD when it did not simultaneously disclose to the public the information provided by Marino to the partner, and that Marino aided and abetted those violations.
Click http://sec.gov/litigation/admin/2012/34-66990.pdf to access the administrative action.