The SEC filed a civil injunctive action in the U.S. District Court in Chicago charging a former managing director at an executive search firm with illegal insider trading in Hewitt Associates stock in advance of the July 12, 2010 public announcement of a merger.  The SEC alleges that 5 days earlier Jason Hanold bought shares of Hewitt Associates stock after learning from his wife that AON and Hewitt would merge.  The wife was an executive at Aon at the time. According to the SEC's complaint, Hanold's wife learned on or about 7/6/10 that the firms had reached a merger agreement and that a public announcement was imminent.  Hanold  purchased the shares even though his wife requested that he keep this nonpublic information confidential. It turns out that Hanold's wife shared this information with her husband in a telephone call in the evening of 7/6. Shortly thereafter, Hanold's wife sent him 2 requesting that he not share this information.  He replied, "I won't, no need. I only wish we bought their stock!!!"  The next day, July 7, 2010, he purchased 831 shares of Hewitt Associate's stock in advance of the 7/12/10 public announcement - which caused Hewitt Associates' stock price to increase by more than 32%.  Later that day, Hanold sold all of his shares for a profit of $10,241. SEC Sanctions. Besides losing his job and facing a probable divorce, Hanold agreed to pay nearly $21K in disgorgement, prejudgment interest and civil penalties. [SEC Litigation Release 22118, 10/11/11]