• Loading stock data...
Monday, June 2, 2025

SEC Charges Former Foot Locker Executive With Insider Trading

  • The former Foot Locker executive shorted the stock once while at the company and another shortly after being let go.
  • He agreed to pay $226,000 to settle the charges.
Foot Locker store
Imagn Images

The U.S. Securities and Exchange Commission on Tuesday charged a former Foot Locker executive of insider trading ahead of two company earnings announcements. 

Barry Siegel, 56, who worked as senior director of order planning and management, netted about $113,000 by shorting Foot Locker stock. He agreed to pay $226,000 to settle the charges.

According to the SEC, Siegel shorted Foot Locker stock once while he was still at the footwear retailer, and a second time after the company let him go as part of corporate layoffs. Siegel had worked for the company for two decades. The SEC alleges he had access to material nonpublic sales and inventory data in his role, and he essentially used that information to bet the stock would fall after the earnings report came out. 

In May 2023, Siegel shorted 8,000 shares of Foot Locker, two days before the company’s first-quarter earnings. (Shorting a stock involves an investor borrowing shares at a stock’s current price, and if it falls, the investor profits by buying back the shares at the lower price.) On May 19, 2023, Foot Locker’s first-quarter earnings prompted shares to fall 27%, netting Siegel about $83,000. 

A few months later in August, Siegel bet Foot Locker’s stock would drop again. This short came a week after getting laid off by the company, according to the SEC release. Siegel shorted 3,000 shares before the company’s second-quarter earnings call, the SEC says. The stock sank 28%, netting him more than $30,000. 

Siegel didn’t deny or admit to the allegations. His payment of $226,000 is double what he made from his trades, and includes interest and a fine. He is banned from serving as a public officer of a company. 

Foot Locker decided to relocate its headquarters from New York to Florida in a cost-cutting move a year after it announced it was closing 400 stores nationwide. Earlier this year the company announced a plan to revamp many of its stores in an effort to reverse a sales slump. Foot Locker did not immediately respond to a request for comment.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

May 31, 2025; Philadelphia, PA, USA; Melissa Jefferson-Wooden (USA), left, defeats Gabby Thomas (USA) to win the women's 200m, 21.99 to 22.10, during the Grand Slam Track Philadelphia at Franklin Field.

Grand Slam Track Investigating Man Saying He Heckled Gabby Thomas to Win..

The league announced a “full investigation into the reprehensible behavior.”
Illinois Gov. JB Pritzker speaks after giving his annual State of the State address on Wednesday, Feb. 19, 2025, in Springfield.

Illinois Passes New Sports Betting Tax in Middle of the Night

This is the second straight year Illinois approved a tax increase on sportsbooks.
Jun 1, 2025; Seattle, Washington, USA; Seattle Sounders FC forward Danny Musovski (19), midfielder Obed Vargas (18) and midfielder Paul Rothrock (14) wear t-shirts to protest FIFA Club World Cup bonus sharing from MLS while participating in pregame warmups against the Minnesota United at Lumen Field.

Seattle Sounders Protest Tiny Share of Club World Cup Prize Money

Players are set to share $1 million of the $1 billion purse.
Mar 22, 2025; Birmingham AL, USA; LSU gymnast Livvy Dunne stretches with teammates before Session 2 of the SEC Gymnastics Tournament at Legacy Arena in Birmingham, Alabama.

House Settlement Is Supposed to Take Effect in July. It’s Still Not..

College sports awaits which athlete compensation rules will govern the 2025 season.

Featured Today

PSG and the City of Paris Can Join European Soccer’s Elite

What a maiden Champions League title would mean for the French club.
May 30, 2025

How the Champions League Anthem Took on a Life of Its Own

The composer didn’t know he wrote a timeless hit three decades ago.
May 25, 2025

How Rolex Paved the Way for Luxury’s Love Affair With Tennis

“It’s almost impossible to think about tennis without thinking about Rolex.”
Mar 23, 2025; Miami, FL, USA; Alexandra Eala (PHI) reacts after winning a point against Madison Keys (USA)(not pictured) on day six of the Miami Open at Hard Rock Stadium.
May 24, 2025

Alex Eala Is Defying Her Country’s Odds to Make French Open History

The Philippines native has overcome a unique set of financial odds.
Mar 23, 2024; New York, New York, USA; Sneakers worn by New York Knicks guard Jalen Brunson (11) during warmups prior to the game against the Brooklyn Nets at Madison Square Garden.

Nike to Raise Prices on Sneakers Above $100

Kids products and Air Force 1s won’t be affected.
May 15, 2025

20 Hats Per Minute: Merch Madness Hits PGA Championship

Headwear is among the most popular items selling in Charlotte.
Arc'teryx
May 20, 2025

Expensive Outdoor Gear Is Bright Spot Amid Tariff Turmoil

Amer Sports says tariffs will have a “negligible” impact on its results.
Sponsored

Game On: Portfolio Players Stories, Brought to You by E*TRADE from Morgan Stanley

In Episode 7 of Portfolio Players, go inside the boardroom with Avenue Capital CEO and former Milwaukee Bucks co-owner Marc Lasry on Giannis’s future, women’s sports, and upstart leagues like TGL and Unrivaled. 
On-Running
May 14, 2025

On Says It’s Raising Prices—but Not Because of Tariffs

“We want to be the most premium performance sportswear brand,” On’s cofounder said.
Soar
May 12, 2025

Running Is a Bright Spot As Retailers Reel From Trump Tariffs

Sales of running shoes rose 7% in the first quarter.
A'ja Wilson
May 6, 2025

Why Nike Wanted A’ja Wilson’s New Shoe to Sell Out in Minutes

Nike gave fans a taste of the A’Ones with a limited drop.
Michelle Wie West
exclusive
May 6, 2025

Michelle Wie West Is Latest Athlete to Invest in Togethxr

The brand tripled its revenue year over year and is profitable.