Andreas Bechtolsheim, founder and chief architect of Silicon Valley-based technology companyArista Networks Inc(NYSE:ANET), this week agreed to settle charges of insider trading, paying a civil penalty of nearly $1 million.
The U.S. Securities and Exchange Commission (SEC)allegedthat Bechtolsheim misappropriated non-public information regarding the eventual takeover ofAcacia Communications.
Bechtolsheim was chair of Arista when he learned of Acacia's impending acquisition on July 8, 2019.
A rival bidder was believed to have consulted with Bechtolsheim who, upon learning this information, immediately traded Acacia options through the accounts of a close relative and an associate.
The...