Four Individuals Sentenced to Prison for Insider Trading Scheme

Press Release
Four Individuals Sentenced to Prison for Insider Trading Scheme
For Immediate Release
Office of Public Affairs
Two individuals were sentenced yesterday for their participation in a scheme to trade securities based on material nonpublic information about the $3.2 billion merger of two companies, which resulted in illicit profits of over $600,000. Two other individuals were previously sentenced in connection with this scheme on May 4. Specifically, Rouzbeh Ross Haghighat was sentenced to 40 months in prison, Kirstyn Pearl was sentenced to six months in prison, Seyedfarbod “Fabio” Sabzevari was sentenced to 14 months in prison, and James Roberge was sentenced to two months in prison.
“Rouzbeh Ross Haghighat abused his position as a board member of a publicly traded company to exploit his insider knowledge of an upcoming acquisition. He encouraged his friends and family to buy company shares so that they could reap hundreds of thousands of dollars off of that inside information to the detriment of investors,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Insider trading undermines fairness in the economy and American investors. The Criminal Division will continue to pursue illegal activity that affects U.S. markets.”
“This case makes one thing clear: if you think you can game the system using insider information, think again,” said Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group. “Ross Haghighat and his associates thought they were above the law and colored outside the lines for financial gain, but yesterday’s sentencing proves no one is above the law. The U.S. Postal Inspection Service will not hesitate to pursue and bring to justice anyone who tries to corrupt the integrity of our financial markets.”
According to court documents and evidence presented at trial, Haghighat, 62, of Massachusetts; Pearl, 36, of Puerto Rico; Sabzevari, 31, of California; and Roberge, 71, of Massachusetts, illegally bought the securities of a biopharmaceutical company in Seattle, Washington (Company-1), where Haghighat served on the board of directors. In May 2023, while in his position as a board director, Haghighat got important inside information about another pharmaceutical company’s (Company-2) proposed acquisition of Company-1, including sensitive deal terms. Haghighat then purchased securities and tipped off others about the deal — including Pearl, Sabzevari, and Roberge — so that they would purchase securities of Company-1, which they did.
In May 2023, Company-2 made a confidential proposal to acquire Company-1 at a price per share above the then-current market value. The two companies then negotiated an agreement for the acquisition, which was announced in June 2023, causing the share price of Company-1 to spike. Collectively, the defendants profited more than $600,000 from their purchases of Company-1 securities based on their insider information.
In December 2025, Haghighat was convicted of one count of securities fraud, 16 counts of insider trading, and two counts of conspiracy. Pearl was convicted of one count of securities fraud, one count of insider trading, and one count of conspiracy.
The U.S. Postal Inspection Service investigated the case.
Trial Attorney Tamara Livshiz of the Criminal Division’s Fraud Section prosecuted the case, with substantial assistance from Assistant Chief Laura Connelly.
Updated June 24, 2026
Topic
Fraud