Former U.S. Congressman Stephen Buyer has been sentenced to 22 months in prison for engaging in insider trading. Buyer, a Republican from Indiana who served in the House of Representatives from 1993 to 2011, was found guilty on four counts of securities fraud at a trial earlier this year.
The case revolves around Buyer’s actions as a consultant to T-Mobile US Inc in 2018, ahead of its $23 billion merger with Sprint. Prosecutors argued that Buyer purchased Sprint stock after learning about the merger talks from a T-Mobile executive, resulting in illegal trades.
In addition to the Sprint trades, prosecutors also alleged that Buyer made over $200,000 by buying stock in Navigant Consulting Inc. before it was acquired by Guidehouse in 2019.
During the trial, Buyer denied trading on inside information and plans to file an appeal. However, prosecutors pushed for a three-year prison sentence, highlighting Buyer’s breach of trust and his dishonesty while testifying.
Buyer requested home confinement as a alternative to prison, citing his service in Congress and the military. However, U.S. District Judge Richard Berman in New York ultimately sentenced him to 22 months of imprisonment.
The case, U.S. v. Buyer, took place in the Southern District of New York. Buyer’s sentencing demonstrates the continued efforts to crack down on insider trading and hold those who engage in such activities accountable for their actions.