Archive · 13 Jan 2026
Ex-Lazard Banker Accused of $41M Insider Trading Scheme
A former banker named Justin Kim is accused of giving secret information about big healthcare deals to his friends.
These friends used the information to make a lot of money by buying and selling stocks at the right times.
The deals were worth billions of dollars, and the friends made about $41 million illegally.
Kim is facing serious charges and could go to prison for up to 25 years.
He worked at Lazard, a big investment bank, and later at Citigroup.
The friends also did other bad things, like pretending to be doctors and making fake news to trick people into buying stocks.
The bankers and the friends are in big trouble, and the authorities are investigating.
Justin Kim, a former Lazard banker, is accused of feeding insider tips to a friend's trading network.
The scheme allegedly generated $41 million in illicit profits from 10 healthcare deals.
Key deals involved included Gilead Sciences' acquisition of Immunomedics, CVS Health's buyout of Oak Street Health, and AbbVie's purchase of ImmunoGen.
Kim is facing criminal and regulatory charges, with potential prison time of up to 25 years.
Lazard and Citigroup have distanced themselves from Kim's actions, stating they do not tolerate such conduct.
- Who
- Justin Kim, a former Lazard banker, and Muhammad Saad Shoukat and his brothers
- What
- Alleged insider trading scheme involving tips on healthcare deals
- When
- Over several years through 2023
- Where
- United States, with arrests in San Francisco and Newark, New Jersey
- Why
- To generate illicit profits from well-timed bets ahead of takeovers
- Accused Individual
- Justin Kim
- Alleged Profits
- $41 million
- Rolex Watch
- Received by Kim
- Deals Involved
- 10 potential takeovers
- Key Deals
- Gilead Sciences, CVS Health, AbbVie
- Total Deal Value
- $60 billion
- Arrest Location
- San Francisco
- Bail Amount
- $100,000