U.S. prosecutors have criminally charged a former Wells Fargo broker and a banker with insider trading in Burger King securities ahead of a 2010 buyout of the fast-food chain.
Waldyr Da Silva Prado Neto, who worked for Wells Fargo Advisors, allegedly learned from a client that 3G Capital Partners planned to buy Burger King, and passed the news to Igor Cornelsen, a banker and fellow Brazilian. Prosecutors said the unnamed client was an investor in a 3G buyout fund who shared confidential financial information with Prado on the understanding it would be kept confidential. Instead, investigators said the defendants communicated in Portuguese about a possible buyout. Lawyers for the defendants were unavailable for comment.