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25 years jail sentence to telugu techie


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Trial evidence demonstrated that the Palo Alto Networks employee traded on that confidential information himself in nominee accounts and also provided Barama with the information along with trading instructions.
 
He used confidential financial information and trading instructions to purchase Palo Alto Networks stock options.
 
Once the company publicly announced its earnings for a prior quarter, the stock price reacted to the public disclosure and Barama’s earlier option trades promptly became highly profitable, according to a statement issued by the attorney's office.
 
 
With the help of the information, Barama’s trades helped him earn profits more than five times the amount he had invested, it said.
 
Barama ultimately made profits of USD 7.3 million on his options trades based on confidential information obtained ahead of four different Palo Alto Networks earnings announcements, it said.
 
He now faces a maximum statutory sentence of 25 years in prison
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The kingpin of the scam is said to be Janardhan Nelluru (42), who worked as the IT administrator of Polo Alto Networks. His friends Ganapathi KundhaRaju, Sivanarayana Barama, Sabir Hussain and Prasad Mallepalli were also involved in the scam.

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