DreamWorks Animation CEO Jeffrey Katzenberg, a high dollar Democratic donor, is under scrutiny for more than a million dollars in stock sales prior to a precipitous decline in value of the company’s share prices, the New York Post reported on Monday.
DreamWorks has faced a round of selloffs lately amidst a Securities and Exchange Commission investigation and a series of class action lawsuits by investors.
According to the Post, Katzenberg himself may be in the crosshairs.
He sold more than $1.24 million of his company’s stock on two separate occasions in October and November, SEC filings show.
The first batch commanded $27.84 per share, the second $32.17. And don’t think it’s lost on class-action seekers that both prices look good in comparison to the $20 or so that a DreamWorks share fetches today.
Katzenberg’s sales were well-timed, coming three and four months after the release of "Turbo," yet three and four months before the film’s writedown.
Katzenberg was a top fundraiser for President Barack Obama’s reelection campaign, bundling at least $500,000 for the effort. He has donated an additional $1.8 million to Democratic candidates, committees, and interest groups.