SEC v. Patel

Par Pharmaceutical founder and director Patel (defendant) falsified FDA composition filings in 1988 and sold 75,000 shares of company stock around the same time, anticipating the falsification would eventually surface; after the SEC (plaintiff) sued once the fraud was discovered, the district court barred Patel for life from serving as a director of any publicly traded corporation without explaining why it believed he was likely to commit similar violations again.