Skip to content Skip to footer

Tom Price’s $150,000-Plus Stock Windfall

The HHS secretary divested his shares in a small biotech company — and in the process doubled his money.

Tom Price doesn’t appear to have suffered a financial hit when he fulfilled his pledge to sell off some assets as the new head of the Department of Health and Human Services.

On one transaction alone, Price made a profit of more than $150,000 on shares he held in a tiny Australian biotech company, according to his financial disclosures. His purchases of that stock, which came while he was serving in Congress, were the subject of particular scrutiny during his confirmation hearings in January. He was one of a handful of US investors allowed to buy discounted shares in Innate Immunotherapeutics, which was working on an experimental multiple sclerosis drug.

Price invested about $10,000 in 2015 and another $50,000 to $100,000 in the company last summer, records show. He appears to have sold all those shares on two days in February, reaping between $265,000 and $550,000, according to forms he filed last month with the federal Office of Government Ethics. Filers are required to show only a range of the value of any sold or purchased stock, meaning that his overall profit could range from $154,983 to as much as $489,981.

The forms show Price also sold shares worth a total of tens of thousands of dollars in about three dozen other companies involved in businesses including health care, technology and airlines.

While he served in Congress, Price reported trading hundreds of thousands of dollars’ worth of shares in health-related companies while he voted on and sponsored legislation affecting the industry. He testified at his HHS confirmation hearings that his trades were lawful and transparent. Democrats accused him of potentially using his office to enrich himself. ProPublica previously reported that his trading is said to have been under investigation by federal prosecutors.

Price testified during his confirmation hearings that the discounted shares in Innate Immunotherapeutics “were available to every single individual that was an investor at the time.”

But, as The Wall Street Journal reported, the discounted shares were only available to American investors by invitation. Price learned of the company from his friend Rep. Chris Collins, R-N.Y., a company director and its largest shareholder. Collins told the Journal he invited Price to buy, and Price did so in two purchases, one at 18 cents a share and another at 26 cents a share during the summer of 2016. When Price sold off his investment, Innate was trading at around 70 cents.

Before he was confirmed, Price pledged to sell off his holdings.

Price did not respond to a request for an interview.

Price has said before that his trades while he was in Congress were promptly disclosed, as required by law. He has rejected allegations that he ran afoul of insider-trading rules or used his position as chair of the powerful House Budget Committee to get information or opportunities not available to normal investors.

ProPublica reported that on the same day his stockbroker bought him up to $90,000 of stock in six pharmaceutical companies, Price arranged to call a top US health official, seeking to scuttle a controversial rule that could have hurt the firms’ profits and driven down their share prices.

Correction, April 4, 2017: When HHS Secretary Tom Price sold his stake in Innate Immunotherapeutics in February, the Australian company’s shares were trading at about 70 cents. An earlier version of this story said shares were about 90 cents, which was the price in Australian currency.

Truthout Is Preparing to Meet Trump’s Agenda With Resistance at Every Turn

Dear Truthout Community,

If you feel rage, despondency, confusion and deep fear today, you are not alone. We’re feeling it too. We are heartsick. Facing down Trump’s fascist agenda, we are desperately worried about the most vulnerable people among us, including our loved ones and everyone in the Truthout community, and our minds are racing a million miles a minute to try to map out all that needs to be done.

We must give ourselves space to grieve and feel our fear, feel our rage, and keep in the forefront of our mind the stark truth that millions of real human lives are on the line. And simultaneously, we’ve got to get to work, take stock of our resources, and prepare to throw ourselves full force into the movement.

Journalism is a linchpin of that movement. Even as we are reeling, we’re summoning up all the energy we can to face down what’s coming, because we know that one of the sharpest weapons against fascism is publishing the truth.

There are many terrifying planks to the Trump agenda, and we plan to devote ourselves to reporting thoroughly on each one and, crucially, covering the movements resisting them. We also recognize that Trump is a dire threat to journalism itself, and that we must take this seriously from the outset.

After the election, the four of us sat down to have some hard but necessary conversations about Truthout under a Trump presidency. How would we defend our publication from an avalanche of far right lawsuits that seek to bankrupt us? How would we keep our reporters safe if they need to cover outbreaks of political violence, or if they are targeted by authorities? How will we urgently produce the practical analysis, tools and movement coverage that you need right now — breaking through our normal routines to meet a terrifying moment in ways that best serve you?

It will be a tough, scary four years to produce social justice-driven journalism. We need to deliver news, strategy, liberatory ideas, tools and movement-sparking solutions with a force that we never have had to before. And at the same time, we desperately need to protect our ability to do so.

We know this is such a painful moment and donations may understandably be the last thing on your mind. But we must ask for your support, which is needed in a new and urgent way.

We promise we will kick into an even higher gear to give you truthful news that cuts against the disinformation and vitriol and hate and violence. We promise to publish analyses that will serve the needs of the movements we all rely on to survive the next four years, and even build for the future. We promise to be responsive, to recognize you as members of our community with a vital stake and voice in this work.

Please dig deep if you can, but a donation of any amount will be a truly meaningful and tangible action in this cataclysmic historical moment.

We’re with you. Let’s do all we can to move forward together.

With love, rage, and solidarity,

Maya, Negin, Saima, and Ziggy