The SEC indicts Hall-of-Famer Eddie Murray and Abbott executive James Mazzo for alleged insider trading on Abbott's nearly $3 billion buyout of Advanced Medical Optics.
The SEC slapped a senior Abbott (NYSE:ABT) executive and baseball great Eddie Murray with insider trading charges stemming from Abbott's $2.8 billion acquisition of Advanced Medical Optics in 2009, according to the Wall Street Journal.
The federal securities watchdog accused Murray and former AMO CEO James Mazzo, now a senior vice president for the Abbott subsidiary, of leaking news of the deal ahead of its consummation, the newspaper reported. "Steady Eddie" Murray won fame as an unflappable player for the Baltimore Orioles and was elected to baseball's Hall of Fame in 2003.
Murray allegedly learned of the impending deal from former teammate Doug DeCinces, eventually netting about $235,000 via the insider trading. He agreed to pay roughly $358,000 to settle the charges, although Murray admitted no wrongdoing. Mazzo is charged with tipping off DeCinces, his neighbor in Laguna Brach, Calif., according to the Journal. The SEC also accused DeCinces of telling at least 4 others about the AMO/Abbott deal.