NEW YORK – The FBI arrested a former trader at the Connecticut firm Rochdale Securities on Tuesday in a fraud scheme involving Apple stock, U.S. prosecutors said.
According to a criminal complaint filed in federal court on Monday, David Miller bought Apple shares for himself ahead of the tech giant's October 25 earnings announcement, then told his employer Rochdale the trade was for a customer who would bear the risk if it lost money. As a result, Rochdale was left unexpectedly owning over a million shares of Apple and had to sell them for a $5 million loss.
The case is USA v. David Miller, U.S. District Court, District of Connecticut.
(Reporting By Emily Flitter; Editing by Tim Dobbyn)