By Anthony Caruso III | Publisher
A former baseball player was convicted on Friday of insider trading in Santa Ana, Calif. Doug DeCinces was convicted after investigators allege that he bought stock that earned more than $1 million.
He previously played for the Baltimore Orioles and the California Angels in his career. The third baseman was convicted of 14 federal charges – and is expected to face decades in prison.
There were 18 additional charges that he was facing. However, after the jurors were deadlocked, the judge ruled a mistrial on those counts.
DeCinces’ attorney Ken Julian is expected to seek a new trail.
“Obviously, this is a disappointment for everybody involved,” Julian said. “This is not the end.”
The prosecution allege that he was tipped off by Advanced Medical Optics CEO James Mazzo, who was DeCinces’ neighbor in Laguna Beach, Calif. In 2009, Mazzo tipped off his neighbor that the Santa Ana medical company was going to be sold.
Days prior to being sold to Abbott Laboratories, DeCinces bought 90,000 shares. He sold the shares for $1.3 million. The authorities also allege that the former player tipped off friends and family, who also made an additional $1.3 million in shares after being tipped off, as well.
65-year-old David Parker, DeCinces’ friend, was convicted of three counts on Friday. Mazzo had his case result in a deadlock; however, he could be facing a retrial of the 26 insider trading counts.
“Even though everyone else was losing, they won,” Assistant U.S. Attorney Jennifer L. Waier said in the closing arguments on Thursday. “They won big. They won because they knew tomorrow’s news today.”
Any Corrections?. You can contact Anthony at firstname.lastname@example.org.