A former Pfizer statistician on Thursday was charged by U.S. authorities with insider trading for acting on advance information about trial results for the Paxlovid Covid-19 treatment.
The U.S. Securities and Exchange Commission alleged that Amit Dagar, 43, who had been a senior statistical program lead for the trial, traded Pfizer stock before results became public on Nov. 5, 2021. An interim analysis of a randomized double-blind study showed the drug reduced hospitalization or death by 89% compared to a placebo in high-risk adults who were not hospitalized.
The results of the trial, which began in July 2021, were called a “game changer” by the company in the effort to thwart Covid-19 and Pfizer stock gained 11%, its largest single-day price move since 2009. But the day before the results were announced, the SEC alleged, Dagar was told by a supervisor about the positive outcome and that a press release would be issued the following day.