On September 28, 2017, nine defendants were indicted on fraud charges based on allegations they traded on nonpublic information regarding an impending corporate acquisition, resulting in illegal profits of $866,629.  According to the indictment, in 2015 Shane Fleming, a vice president of corporate sales at Life Time Fitness, Inc. of Minnesota, obtained inside information about the sale of Life Time Fitness to two private equity firms.  This information was shared with his friend and business partner Bret Beshey, who shared it with his girlfriend Chastity Clark, his friend Peter Kourtis, and Clark’s friend Christopher Bonvissuto.  The defendants agreed to purchase stock options for the company and share the profits among their co-conspirators.  Kourtis then shared the information with four additional friends, Eric Weller, Austin Mansur, Alex Carlucci and Dimitri Kandalepas, who also agreed to trade on the information.  Each of the defendants was charged with conspiracy, as well as individual counts of securities fraud based on their level of participation.  U.S. v. Beshey, et al., case number 1:17-cr-00643 (N.D. Ill.).

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