SEC slaps Perry Corp. with $150,000 fine for violating securities law

By Lisa Kerner

Charlotte, N.C., July 21 - The Securities and Exchange Commission charged New York-based investment adviser Perry Corp. with securities law violations for failing to report that it had purchased substantial stock in a public company, it was announced on Tuesday.

According to the SEC, Perry purchased the shares in order to vote them in favor of a merger from which Perry stood to profit.

Perry failed to disclose that it had acquired nearly 10% of the common stock of Mylan Laboratories, Inc., a Canonsburg, Pa., pharmaceutical company, as required by securities laws, the release said.

At the time, Mylan had announced a proposed acquisition of Bristol, Tenn.-based King Pharmaceuticals, Inc. that was subject to shareholder approval, said the SEC.

"By acquiring significant voting rights to Mylan shares without informing the marketplace, Perry illicitly increased its potential to profit from its merger arbitrage position," David Rosenfeld, associate director of the SEC's New York regional office, said in the release.

Perry agreed to pay a $150,000 penalty to settle the charges without admitting or denying the SEC's findings.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.