10:00 AM EDT, 03/26/2024 (MT Newswires) -- The trial of an insider trading case against a former employee of biopharmaceutical company Medivation in connection with Pfizer's ( PFE ) acquisition of the company began in California on Monday, media outlets reported.

The US Securities and Exchange Commission accused former Medivation business development head Matthew Panuwat of buying stock options in another oncology-focused biopharmaceutical company, Incyte ( INCY ) , "within minutes of receiving" information from Medivation's Chief Executive about Pfizer's ( PFE ) intent to acquire Medivation.

Panuwat anticipated that Incyte's ( INCY ) value "would materially increase" when the deal became public, according to the SEC's complaint filed with the US District Court for the Northern District of California San Francisco Division.

"By trading ahead of the announcement [on Aug. 22, 2016], Panuwat obtained illicit profits of $107,066," according to the complaint.

A lawyer for Panuwat told the jury that the SEC can't prove intent to defraud on the part of Panuwat, Bloomberg reported.

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