SEC Sues Abu Dhabi’s Hashemi Over Nova Insider Trades

The U.S. Securities and Exchange Commission sued Khaled Al Hashemi, claiming the manager at Abu Dhabi Oil Refining Co. had inside information when he traded in shares of Nova Chemicals Corp. before it was acquired by an Abu Dhabi government entity this year.

Al Hashemi, a citizen of Abu Dhabi who may still be working at AORC, earned illicit profits of $458,760, the SEC said in a complaint filed today in Manhattan federal court. He may also be employed as an administration director by the Abu Dhabi Tourism Authority. Both AORC and the tourism agency are state-run.

Nova Chemicals, Canada’s largest chemical maker, agreed on Feb. 23 to be acquired by Abu Dhabi’s International Petroleum Investment Co. for about $499 million in cash to gain financing required by lenders. Shareholders received $6 per common share.