Marin Man Gets 1 Year For $368K Insider Trading Scheme: DOJ

NOVATO, CA — A Marin man who earlier this year pleaded guilty in connection with an insider trading scheme was sentenced to one year and a day in prison, the Department of Justice said in a news release

Frank Glassner, 68 of Novato, pleaded guilty Aug.19 to one count of securities fraud.

Glassner was also ordered to pay $368,000 in forfeiture.

He was initially charged with two counts of securities fraud that carry maximum sentences of 20 and 25 years, respectively, according to the Department of Justice.

Glassner, who headed a Novato-based executive compensation consulting firm, was convicted in connection with a scheme to profit from nonpublic information about a pending merger involving a company he was advising.

Glassner served as an advisor to Kadmon, biopharmaceutical a company that traded under the symbol “KDMN” on the Nasdaq before it was acquired by Sanofi.

He was accused of using insider information to trade stock and option calls between July and September of 2021.

Glassner pocketed $368,000 when Kadmon’s stock price rose 71 percent the day the deal was announced on Sept. 8, 2021, according to the DOJ.

“With today’s sentence, Frank Glassner must face the consequences of trading on inside information,” U.S. Attorney Damian Williams said in a statement.

“This conviction and sentence demonstrates once again that we will continue to vigorously protect the integrity of our markets and hold accountable those who cheat by trading on inside information.”