Bryan Scott McMillan

U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 26133 / September 26, 2024

Securities and Exchange Commission v. Bryan Scott McMillan, No. 4:24-cv-00919 (N.D. Tex. filed Sept. 26, 2024)

SEC Charges Texas Resident with Insider Trading

The Securities and Exchange Commission today filed charges against Bryan Scott McMillan, a resident of Westlake, Texas, for insider trading in advance of the November 29, 2022 announcement that Apollo Endosurgery, Inc. would be acquired by Boston Scientific Corp.

According to the SEC’s complaint, on the afternoon of November 28, 2022, McMillan learned that his domestic partner’s employer, Apollo Endosurgery, would be acquired.  The SEC’s complaint further alleges that, minutes before the stock market closed, McMillan purchased 20,000 shares of Apollo Endosurgery stock on the basis of this material nonpublic information.  The following day, the acquisition was publicly announced, the price of Apollo Endosurgery stock rose by approximately 68 percent, and McMillan allegedly generated $81,400 of ill-gotten gains. 

The case originated from the SEC Market Abuse Unit’s Analysis and Detection Center, which uses data analysis tools to detect suspicious trading patterns.

The SEC’s complaint, filed in federal court in the Northern District of Texas, charges McMillan with violating the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and seeks injunctive relief, disgorgement with prejudgment interest, civil penalties and a bar that would prevent McMillan from serving as an officer or director of public companies.

The SEC’s investigation was conducted by Market Abuse Unit Senior Counsel Jay A. Scoggins, with the assistance of John Rymas of the Market Abuse Unit’s Analysis and Detection Center. The SEC’s litigation will be led by James P. McDonald, under the supervision of Gregory A. Kasper. The SEC appreciates the assistance of the Financial Industry Regulatory Authority.