SEC Charges Two Egyptian Oil Workers With Insider Trading
U.S. government regulators said Wednesday that they are seeking more than $100,000 in fines and recovery of illegal profits from two Egyptian oil industry workers charged with a 1985 illegal insider trading scheme in Texas International Co. stock.
In a New York federal court, the Securities and Exchange Commission charged Joseph Kerherve and Adel Adib, both employees of Schlumberger Logelco Inc. of Cairo, Egypt, with illegally profiting from stock trades based on advance word of large oil finds by Texas International in February, 1985.
Kerherve and Adib allegedly learned of Texas International’s oil finds in the western Egyptian desert while Schlumberger Logelco was hired to assist in a complicated series of tests to determine oil deposit levels in the target fields.
Shortly before the new oil strikes were publicly announced, Kerherve and Adib bought 20,000 shares of Texas International common stock.