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Question
Helena is the chief executive officer of Beltway Holdings (BEH). She owns 1.2 million shares of BEH stock and wishes to sell 10 percent of those shares to diversify her holdings. She follows the SEC requirements, along with those of her firm, and proceeds with the sale on Monday, June 9. On Tuesday, June 10, BEH stock declines by 25 percent. Helena's stock trade is:A. legal but any future trading in BEH will be prohibited as long as she remains employed by the firm.
B. illegal and could subject her to both fines and jail time.
C. legal.
D. subject to reversal by the SEC.
E. subject to a forfeiture of her profits to the SEC.
Answer
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