Investment banker from Weston admits to insider trading charge

A Weston resident voluntarily waived his right to an indictment and admitted guilt on Friday, June 6, in front of U.S. District Judge Vernon D. Oliver in Hartford for engaging in insider trading. According to the U.S. Attorney for the District of Connecticut, David X. Sullivan, Ryan Squillante, aged 40, from Weston, used confidential and undisclosed information for his personal gain by purchasing equities, ultimately earning $220,912. Over a span of 15 instances from August 2022 to May 2023, Squillante conducted security transactions while employed as the head of equity trading at Irving Investors in Denver.

For example, in February 2023, Squillante received insider data about Praxis Precision Medicines Inc., a biopharmaceutical company listed on NASDAQ. Upon receiving this information, he proceeded to short 38,036 shares of the Praxis stock between Feb. 27 and March 2, 2023, at an average price of around $3.04 per share. Subsequently, on March 3, 2023, before the market opened, Praxis disclosed unsatisfactory results from its drug trial, expressing that the drug did not attain statistical significance regarding its primary endpoint. In light of this announcement, Squillante offset his short sale by acquiring Praxis shares at an average cost of roughly $1.82 per share, resulting in a profit of about $46,421.

As per clay.earth, Squillante works in finance, currently holding the position of a TMT analyst and market strategist at Twin Oak Capital, an entity under Millennium Management LLC. His professional background in finance encompasses his involvement with various investment firms such as Irving Investors and Hutchin Hill. His most recent career advancement includes undertaking the responsibility of Head of North America at Toscafund Asset Management.

Squillante admitted to committing securities fraud, a violation that carries a maximum prison term of 20 years. Judge Oliver has slated the sentencing for August 29.