FRIEND BETRAYS TRUST FOR $77K TRUCKING STOCK SCAM!

SEC v. Brian M. Kashman — U.S. Securities and Exchange Commission Litigation Release No. 26359, dated July 22, 2025.

The SEC charged Brian M. Kashman with insider trading. Kashman learned about a potential acquisition of US Xpress from a friend who worked at the acquiring company, Knight-Swift. He then sold his mutual fund shares and used the proceeds to buy US Xpress stock, making over $77,000 in illicit profits when the acquisition was announced.

In Plain English

Imagine your friend tells you a secret: a big company is planning to buy another company, and this news isn't public yet. You're not supposed to use this secret information to make money. But Brian Kashman did. He sold some of his own investments and used that money to buy stock in the company that was going to be bought. When the news came out, the stock price shot up, and he quickly sold his shares, making a lot of money he shouldn't have.

Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.

How the Alleged Scheme Worked

1. Friend Shares Secret In late 2022 or early 2023, a friend of Brian Kashman, who held a senior position at Knight-Swift Transportation Holdings, Inc., learned that Knight-Swift was negotiating to buy US Xpress Enterprises, Inc. This information was material and nonpublic.
2. The Meeting On February 7, 2023, Kashman met in person with his friend near Knight-Swift's headquarters. The friend, trusting Kashman, shared the confidential information about the potential acquisition.
3. Selling Investments The day after the meeting, February 8, 2023, Kashman sold $30,000 worth of shares from a mutual fund he owned.
4. Buying Target Stock On the same day, February 8, 2023, Kashman used the $30,000 from the sale, plus additional funds, to purchase 18,200 shares of US Xpress stock at $1.67 per share.
5. Acquisition Announcement On March 21, 2023, US Xpress publicly announced that Knight-Swift had made an offer to purchase the company. This news caused the stock price of US Xpress to surge by nearly 300%.
6. Selling for Profit The very next day, March 22, 2023, Kashman sold all of his 18,200 shares of US Xpress stock for $5.95 per share.
7. Illicit Gains Through these trades, Kashman realized illicit profits totaling $77,723.

The Enforcement Action

The SEC filed settled insider trading charges against Brian M. Kashman. Kashman consented to a final judgment permanently enjoining him from violating charged provisions, ordering disgorgement of $77,723 plus $12,201 in prejudgment interest, and a civil penalty of $77,723. The judgment is subject to court approval.

Named in this action: Brian M. Kashman.

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