(Adds comment from Justice Department and lawyer for defendant,
sentencing date; in paragraphs 6, 9-11)
By Jonathan Stempel
July 21 A former president of Qualcomm Inc's
global business operations pleaded guilty on Monday to
insider trading in shares of the mobile phone chipmaker and a
company it bought in 2011, as well as to a related money
Jing Wang, 51, entered his plea before U.S. District Judge
William Hayes in San Diego over trades that resulted in about
$250,000 of illegal gains, the U.S. Department of Justice said.
Prosecutors said Wang used nonpublic information to trade in
Qualcomm shares in 2010 before a surprise dividend increase and
stock repurchase, and in 2011 before record results were
They said he also traded illegally in Atheros Communications
Inc shares in 2010 hours after learning that Qualcomm had made a
nonpublic offer to buy that company.
Wang also pleaded guilty to laundering proceeds through a
shell company based in the British Virgin Islands, in an effort
to disguise ownership and avoid taxes, prosecutors said.
"Jing Wang blatantly and repeatedly abused the trust placed
in him by Qualcomm and the company's shareholders," U.S.
Attorney Laura Duffy said in a statement.
Wang had been indicted in September along with his brother
Bing Wang and broker Gary Yin, who worked at Bank of America
Corp's Merrill Lynch unit.
Yin pleaded guilty in September to conspiring to help the
brothers obstruct justice and launder money. He is scheduled to
be sentenced on Sept. 15. An arrest warrant is outstanding for
Bing Wang, who is believed to live in China.
Thomas McNamara, a lawyer for Jing Wang, said his client
"accepts full responsibility" for his actions.
"He wants to express his sincere remorse to the community
and, in particular, he apologizes to his many friends at
Qualcomm," McNamara added.
Sentencing is scheduled for Nov. 17, another lawyer for Jing
The U.S. Securities and Exchange Commission in September
filed related civil charges against Jing Wang and Yin. San
Diego-based Qualcomm was not charged.
The case is U.S. v. Wang et al, U.S. District Court,
Southern District of California, No. 13-cr-03487.
(Reporting by Jonathan Stempel in New York; Editing by Tom
Brown and Mohammad Zargham)