SEC Charges Former Bankers in $18.5 Million South Jersey Industries Insider Trading Case
SEC alleges Gavin Wolfe made $18.5 million trading South Jersey Industries shares after a tip from former banker Jason Satsky before the 2022 acquisition.
Summary
The SEC charged former Wall Street investment bankers Gavin Wolfe and Jason Satsky with fraud on August 21, 2026, in SEC v. Gavin Wolfe et al., No. 1:26-civ-7132, filed in the Southern District of New York. Satsky, co-head of a New York investment bank’s energy and utility group and lead banker advising South Jersey Industries, Inc., allegedly tipped longtime colleague and close friend Wolfe before the company’s February 24, 2022 acquisition announcement. Wolfe allegedly bought over 2.2 million shares, earning approximately $18.5 million when the stock rose about 40%, and tipped others who made approximately $515,000.
The complaint alleges violations of Exchange Act Section 10(b) and Rule 10b-5. The SEC seeks permanent injunctions, civil penalties, and officer-and-director bars against both defendants, disgorgement and prejudgment interest from Wolfe, and a conduct-based injunction against Satsky. Evergreen Capital L.P., Evergreen Financial LLC, Empire Property Management LLC, GAW Holdings, LLC, SA 1055 LLC, SA 1057 LLC, SA 1082 LLC, and SA 1083 LLC, entities through which Wolfe allegedly traded, are relief defendants facing disgorgement and prejudgment interest. Cynthia A. Matthews and George N. Stepaniuk investigated under Sheldon L. Pollock; Travis Hill, Hayden Brockett, and Christopher Kelly will litigate under Daniel Loss and Christopher Colorado.
Positives
- The August 21, 2026 federal complaint puts the alleged South Jersey Industries trading before the Southern District of New York.
- Disgorgement and prejudgment interest are sought from Wolfe and eight relief defendants, targeting alleged gains held through the named entities.
- Permanent injunctions, civil penalties, officer-and-director bars, and a conduct-based injunction could restrict future misconduct if granted.
Risks & concerns
- Wolfe allegedly earned approximately $18.5 million after buying over 2.2 million South Jersey Industries shares using material nonpublic information.
- Satsky allegedly disclosed acquisition information obtained while serving as lead banker and advising South Jersey Industries.
- Wolfe allegedly tipped additional traders who generated approximately $515,000 in profits.
- Both defendants face fraud claims under Exchange Act Section 10(b) and Rule 10b-5, plus potentially significant penalties and restrictions.
