Apple’s Insider Trading Scandal: The Tale of Gene Levoff
In a shocking turn of events, former Apple corporate lawyer Gene Levoff has been charged with insider trading. The U.S. Department of Justice paints a picture of a high‑flying executive who turned his corporate expertise into a profit‑making machine—at least until the DOJ sent a cease‑fire order.
What Went Wrong?
- Levoff held multiple senior roles: corporate secretary, head of corporate law, and co‑chair of the disclosure committee.
- Between 2011 and 2016, he traded Apple stock before earnings were publicly disclosed.
- He raked in roughly $604,000 in illicit gains – a figure that feels almost too small for someone who knew Apple’s financial secrets.
Key Details
• Timeline: The alleged trades spanned five years, from 2011’s kickoff to 2016’s close.
• Legal Position: He reported to Apple’s general counsel, sitting on boards of every major subsidiary—so his access was, frankly, a lot.
Charges and Consequences
- One count of securities fraud – up to 20 years in prison.
- Potential fine of $5 million.
- First court appearance slated for Feb 20 in Newark, New Jersey.
In addition, the Securities and Exchange Commission filed civil charges, a rare move that underscores how seriously regulators are treating insider trading.
Apple’s Response
Apple stated that the ex‑executive was terminated following an internal probe. The company emphasized its commitment to training employees on legal obligations—despite having a former insider. “We train employees on our legal obligations,” Apple said, a statement that feels like a polite shrug.
Levoff’s Defense
Lawyer Kevin Marino says he’s reviewing the allegations and is ready to mount a defense. “Gene Levoff was a highly respected Apple executive and has never before been accused of wrongdoing,” Marino emailed. Whether this defense will hold up remains to be seen.
Why This Is Not Your Average Lawyer‑Break–Law Story
Usually, insider trading scandals involve hedge fund managers or CEOs. Here, a seasoned lawyer—who literally sits on committees to ensure accurate financial reporting—gives the situation a twist of irony. It’s a “watchdog” someone who should have known better, catching himself in the act of the exact violation he warned others against.
The Legal Landscape
The cases are filed in the New Jersey district court:
- US v. Levoff (criminal) – No. 19‑mag‑03507
- SEC v. Levoff (civil) – No. 19‑05536
These filings also highlight that servers used to orchestrate the trades were located in the same jurisdiction, a detail that could be pivotal in the proceedings.
Bottom Line
Levoff’s story is a sobering reminder that insider trading doesn’t only belong to Wall Street sharks. When you’re a lawyer at Apple, there’s an extra layer of trust—and a steeper penalty if you break it. Let’s hope the verdict brings some clarity to this corporate cautionary tale.
