Levoff, who served at Apple from 2008 to 2018, was charged with six counts of cable fraud and six fraud cases. According to the indictment, Levioff achieved a profit of some $ 227,000 on some businesses and avoided losses of some $ 377,000 on others. The transactions in question allegedly took place between 2011 and 2016.
Levoff was not only senior director of corporate law at Apple, a position he held from 2013 to 2018, but also co-chair of the Apple Disclosure Committee. This group reviews Apple’s earnings reports and filings with the Securities and Exchange Commission before they are released.
Together with others who had access to such material information prior to publication, Levoff was subject to quarterly lock-up periods. During this time, these individuals are not allowed to trade shares until Apple reports its earnings. However, Levoff allegedly disobeyed this rule (though he reminded others that the trade was not blackouts) and Apple’s own insider trading policy, which he was responsible for enforcing.
Levoff faces a maximum of 20 years imprisonment on each conviction. The number of securities fraud cases amounts to a maximum of 5 million US dollars, and the number of fraud cases to 250,000 US dollars or twice the profits or losses. The SEC filed a lawsuit against Levoff earlier this year.