The U.S. Securities and Exchange Commission recently reached settlements with Michigan attorney Venar Ayar, his brother Vincent Ayar, and their cousin Johnathan Denha to resolve insider trading allegations. According to the SEC, the three Michigan residents were involved in securities trades tied to SERB Pharmaceuticals’ all-cash tender offer for Y-mAbs Therapeutics, which was announced on August 5, 2025, and caused Y-mAbs shares to rise by approximately 103 percent that day. The SEC alleged that Venar Ayar obtained material nonpublic information (“MNPI”) regarding the acquisition from his law partner who learned of the deal on August 4, 2025 from her husband, a SERB employee working on the acquisition. She allegedly shared the MNPI with Venar Ayar in confidence. Just minutes after obtaining the MNPI, Venar Ayar allegedly phoned his brother Vincent, and about an hour after that phoned Denha, telling each of them about the impending acquisition and urging them to buy Y-mAbs stock. The SEC further alleged that by disclosing the information, Venar Ayar breached a duty of trust owed to his law partner and benefited personally by sharing the tip with relatives.
According to the SEC, Vincent Ayar bought 1,847 Y-mAbs shares while still on the call with his brother and sold them after the announcement for a profit of $7,831.25. Denha allegedly bought 6,200 shares during his call with Venar Ayar. He sold them after the announcement and allegedly realized $25,604.65 in profits. The SEC also claimed that within minutes of his own purchase, Denha passed the tip to another cousin, who then traded and made $808.96. In total, the trades produced $34,244.86 in illicit profits.
The SEC accused each respondent of violating the antifraud and tender offer provisions in Sections 10(b) and 14(e) of the Exchange Act and in Rules 10b-5 and 14e-3(a). Without admitting the SEC’s findings, they each agreed to resolve the charges on September 25, 2026, by consenting to cease-and-desist orders. Venar Ayar agreed to pay a civil penalty of $34,244.86, which matches the combined profits of the people he tipped. Vincent Ayar agreed to pay disgorgement of $7,831.25, $274.72 in prejudgment interest, and a $7,831.25 civil penalty. Denha agreed to pay $25,604.65 in disgorgement, $898.20 in prejudgment interest, and a civil penalty of $26,413.61, which equals his own profits and those of the cousin he tipped.
SEC Order – Venar Ayar | SEC Order – Vincent Ayar | SEC Order – Johnathan Denha