Carlos Sacanell, a 59-year-old resident of Willow Grove, Pennsylvania, was sentenced to two years in prison and fined $5,000 for insider trading related to CVS Health Corporation's acquisition of Oak Street Health in 2023. The sentence was handed down by United States District Judge Wendy Beetlestone, according to an announcement from U.S. Attorney David Metcalf.
Sacanell had been charged by indictment in October 2024 and pleaded guilty in September of the previous year to one count each of securities fraud (insider trading) and making a false statement to a federal agency.
According to court documents and admissions by Sacanell, he obtained confidential information from his domestic partner, who worked as an executive at Oak Street Health. This information concerned CVS’s planned acquisition of Oak Street Health. Both companies were publicly traded on the New York Stock Exchange under the ticker symbols CVS and OSH.
Sacanell used this nonpublic information to trade stock and options in Oak Street Health before the public announcement of the acquisition on February 8, 2023. These trades resulted in profits totaling about $617,000.
When interviewed by FBI agents in April 2024, Sacanell falsely stated that he had not received any advance information from his domestic partner regarding the planned acquisition before it became public knowledge on February 8, 2023.
The case was investigated by the FBI and prosecuted by Assistant United States Attorney Francis A. Weber. The Securities and Exchange Commission also brought charges against Sacanell in a separate but parallel action.
