Donald Johnson, Nasdaq managing director, sentenced
ALEXANDRIA, Va. (AP) - A former managing director of the NASDAQ Stock Market has been sentenced to 3½ years in prison after making hundreds of thousands of dollars on insider trades.
Fifty-seven-year-old Donald L. Johnson of Ashburn pleaded guilty in May in federal court to stock fraud. He admitted earning $641,000 on eight separate insider trades between 2006 and his retirement in 2009.
As a managing director, Johnson regularly consulted with companies when they had news that could potentially move markets. He was legally barred from profiting on that information.
Johnson apologized for his actions.
The 42-month sentence was roughly in line with what prosecutors sought and much longer than the 18-month sentence requested by Johnson's attorney.
RecommendedRecent Facebook Activity
Only On 7
Now you can get customized weather right down to your street! Plan your day and week ahead with ABC7's Interactive 7-day forecast!
TBD Blogs What you need to read
The Market Report
@TBD On Foot
Best of TBD In case you missed it
Here's a visual look at the eight most delicious, disgusting meals in the country.