Brian Jorgenson, a former senior manager in Microsoft’s(s msft) corporate finance and investments department, has been charged with using inside knowledge about the company’s plans to profit himself and an associate, according to the U.S. Securities & Exchange Commission.
The SEC alleges Jorgenson tipped Sean Stokke of Seattle in advance of Microsoft announcements. After Stokke traded on the information, the two split the profits. Both men also face criminal charges by the U.S. Attorney’s Office for the Western District of Washington.
In an unusually forthcoming interview, Jorgenson laid out the story to the Seattle Times, describing the arrival of FBI agents at his door last month. He estimated Stokke made about $200,000, of which Jorgenson got about $40,000.
According to the SEC complaint, the two men made a “combined $393,125 in illicit profits in their scheme, which began in April 2012.”