Just a few weeks after disclosing that a director violated corporate-insider trading rules, the company said that several other directors and executives did not comply with securities regulations, the Wall Street Journal reported.
The infractions violate a federal securities regulation that prohibits company directors and executives from selling company stock within six months of purchasing shares.
Drkoop.com, the health information Web site cofounded by former U.S. Surgeon General C. Everett Koop, confirmed that director Richard Helppie bought and sold shares within days of buying them. Helppie returned the $76 he made when he traded 400 shares of Drkoop for 16.63 on June 11. Helppie bought those shares for 16.44 on June 8, and holds more than 5 million shares according to a recent SEC filing.
The company said that the company's founder, Dr. Koop, also neglected to file the proper disclosure forms on the day of company's initial public offering in June when he indirectly bought additional company stock, according to the Journal.
Last month, Drkoop said that director Nancy Snyderman violated corporate-insider trading rules by selling some of her company shares just one month after the IPO.
Even Drkoop's own chief financial officer, Sue Georgen-Saad, admitted that she failed to file the forms required after an insider buys or sells company stock, the Journal reported.
The violations do not seem to involve any deception, and the company said it has spoken to its directors on proper insider-trading procedures, the Journal reported.