56. While defendants were issuing the materially false and misleading statements alleged throughout the Complaint, certain insiders were taking advantage of their knowledge of the adverse facts not disclosed to the public until the end of the Class Period. The extent of their trades, the timing of their trades and the nature of their trading habits all establish that defendants had possession of the material adverse facts alleged herein. Specifically, 2TheMart insiders sold more than 300,000 shares of the 2TheMart stock they owned for proceeds of over $5 million. 2TheMart insiders sold the following amounts of 2TheMart shares at artificially inflated prices throughout the Class Period while in possession of material non-public information that was not disclosed to the investment community at the time of such transaction:
Insider Name Date No. of Shares Proceeds
PFZ Holdings 09/08/99 100,000 $918,750.00
Gayde, Christopher 09/03/99 18,750 $152,343.75
Reed, Stephen 09/03/99 18,750 $152,343.75
438292 BC Ltd. 06/22/99 3,000 $39,375.00
Bechard, Marie 06/07/99 1,500 $26,250.00
Dr Doug Evans Ltd 06/07/99 15,000 $262,500.00
Jackson, Margaret Ivy 06/07/99 3,000 $52,500.00
McEwen, Donald\& Edith 06/07/99 15,000 $262,500.00
Monford, Lorne 06/07/99 3,000 $52,500.00
Showtime Realty Ltd 06/07/99 1,500 $26,250.00
Smith, Myrtle 06/07/99 3,000 $52,500.00
Wayne Holdings Ltd 06/07/99 3,000 $52,500.00
Found, Margaret 06/02/99 3,000 $68,250.00
Kiewicz, Kalen\& Sheryl 06/02/99 18,750 $426,562.50
Lewis, Thomas 06/02/99 3,000 $68,250.00
Scott, Marquerite 06/02/99 3,000 $68,250.00
Wilson John\& Leslie 06/02/99 3,000 $68,250.00
Woinoski, Brian 06/02/99 3,000 $68,250.00
Kalenkiewicz, Sheryl 05/28/99 18,750 $525,000.00
Gayde, Christopher 05/27/99 18,750 $525,000.00
Reed, Stephen 05/25/99 18,750 $494,531.25
Delgrosso, James A. 04/26/99 14,000 $294,000.00
Gayde, Christopher 03/23/99 18,750 $481,640.62
Gayde, Christopher 03/12/99 18,750
Reed, Stephen 03/12/99 18,750
Total Shares Sold: 345,750 Total Proceeds: $5,168,765.62 |
