SEC v. Wei Duan (insider trading, 2020)

Settled

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In April 2020 the SEC settled an administrative proceeding with Wei Duan, a Momo Inc. vice president, over insider trading in Momo securities. He agreed to pay disgorgement of about $60,005 and an equal civil penalty.

The record

What was ordered

Civil penalty

$60k

Disgorgement

$60k

Prejudgment interest

—

Total relief

$120k

Alleged gain

—

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars.

What is alleged to have happened

The Securities and Exchange Commission instituted and settled the proceeding on April 30, 2020 (Securities Act release 10778, Exchange Act release 88781, file 3-19778).

The order finds Duan, a Chinese citizen and Momo's vice president of corporate development, traded in Momo securities on material nonpublic information. He neither admitted nor denied the findings.

The order requires disgorgement of $60,005.27 and a civil penalty of $60,005. The earlier record showed disgorgement of $60,006 and no penalty.

For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the release.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

• Insider trading — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2020-04-30 Administrative proceeding instituted (cease-and-desist)

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEC order

The linked release is a work of the United States government and is not subject to copyright. Our summary and narrative above are our own writing.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added September 10, 2026. submit a correction.