OHIO OSU professor pleads innocent to charges of insider trading

COLUMBUS (AP) -- A nationally known marketing expert and author has pleaded innocent to charges he leaked secret details of a merger that federal authorities say generated $880,000 in illegal profits through stock trading.
Roger Blackwell, 64, a marketing professor at Ohio State University, faces charges of insider trading, conspiracy to commit insider trading, lying to the Securities and Exchange Commission, obstructing an SEC investigation and conspiring to obstruct justice.
On Wednesday, U.S. District Judge James Graham tentatively set a Nov. 1 trial date.
Blackwell is accused of sharing information with family and friends about the pending acquisition of Worthington Foods while he served on its board.
Shares increased
Shares of Worthington Foods, which makes meat substitutes, increased from $14.37 to $23.06 when the merger with Kellogg Co. was announced Oct. 1, 1999.
Blackwell, of suburban Upper Arlington, will continue to be an OSU faculty member until the case is resolved, said Joseph Alutto, dean of the Fisher College of Business.
Blackwell has served on many public and private corporate boards in addition to teaching, writing, giving speeches and consulting. He has built a national reputation explaining consumer behavior.
Also charged in a federal grand jury indictment returned Aug. 31 were Blackwell's office employee, Kelley Hughes, 41, of Columbus; Hughes' husband, Kevin Stacy, 43; Blackwell's attorney and business partner, Arnold Jack, 66, of Upper Arlington; Blackwell's friend, Justin Voss, 63, of Washington, D.C., and Blackwell and Jack's company, Black Jack Enterprises.
Each count of insider trading carries a maximum prison sentence of 10 years and $1 million fine. Each count of making false statements, conspiracy and obstruction of an agency proceeding carries a maximum sentence of five years imprisonment and $250,000 fine.