A federal judge has frozen assets of three Swiss-based investment firms accused of profiting from trades based on inside information of a planned acquisition involving Norwalk-based Arch Chemicals Inc. The Associated Press reports.
The Securities and Exchange Commission has accused the companies of making millions of dollars in trades on confidential information that Lonza Group planned to acquire Arch for $1.2 billion. The trades were allegedly made ahead of the July 11 announcement of the acquisition.
The SEC said Monday that a judge had issued an order blocking Compania International Financiera SA, Coudree Capital Gestion SA and Chartwell Asset Management Services from access to funds. The judge also required that the money from the trades be returned to the United States.
Shares of Norwalk, Conn.-based Arch jumped 12 percent, to $47.37, on July 11.
