UnitedHealthcare CEO Brian Thompson was one of several senior executives at the company targeted by the Justice Department when he was shot and killed outside a Manhattan hotel on Wednesday. It was.
Mr. Thompson, who was killed in what police called a targeted shooting outside the Hilton Hotel in Midtown, exercised his stock options on February 16, less than two weeks before news of the federal antitrust probe became public. The company sold $15.1 million worth of stock, people familiar with the matter reported. Crain's New York Business Report From April.
The stock price plummeted after it was revealed that the Justice Department was investigating whether the company had made acquisitions to strengthen its market position in violation of antitrust laws, a person familiar with the investigation told the media. Ta.
Thompson's stock options reportedly have several years left to expire, and the sale marks his first stock sale since he took the helm of parent company UnitedHealth's insurance division in 2021.
According to the report, Thompson, 50, joined UnitedHealth Group Chairman Stephen Helmsley, Chief Human Resources Officer Erin McSweeney and Chief Accounting Officer Tom Roos in total. Helmsley said he sold $1.5 million worth of stock, and his personal profit was just under $85 million.
Charles Elson, founding director of the Weinberg Center for Corporate Governance at the University of Delaware, told Crain's that stock sales by a company's president are typically scrutinized by the company's general counsel, who is required to make additional disclosures to the market before going public. He said he could decide whether it was necessary. The transaction will be executed.
Earlier this year, UnitedHealth suffered the largest health data breach in U.S. history, with the company estimating that one-third of Americans' personal data (which can include Social Security numbers) was compromised in a ransomware attack. I am.
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CEO Andrew Whitty told a Congressional committee in May that the company ultimately paid the hackers a $22 million ransom.
The giant company, which has annual sales of about $372 billion, later announced that it estimated its financial costs as a result of the hack to be about $705 million. Reuters Reported.
