Advanced Micro Devices’ Mark Longoria, Flextronics International’s Walter Shimoon and Taiwan Semiconductor Manufacturing Company’s Manosha Karunatilaka were all paid to serve as ‘consultants’ at Primary Global Research (PGR), and have been arrested along with PGR’s vice president of sales James Fleishman.

It is alleged that the quartet, who in their roles as consultants would speak to PGR clients to provide market, issues and trends intelligence, divulged confidential and inside information in phonecalls arranged by Fleishman.

Manhattan US Attorney Preet Bharara claimed the four “sold out their employers by stealing and then peddling their valuable inside information”. A fifth man working as consultant for the agency, Dell’s Daniel Devore, pleaded guilty to wire fraud and conspiracy to commit wire fraud and securities fraud earlier this month.

FBI assistant director-in-charge Janice Fedarcyk said: “The information trafficked by the four ‘consultants’ went way beyond permissible market research; it was insider information. And the fifth defendant was directly involved in the transfer of inside information from the consultants to hedge funds and other end users.”

“This wasn’t market research,” Fedarcky added. “What the defendants did was purchase and sell insider information. Our investigation is most assuredly continuing.”

In a statement to businessinsider.com PGR said that Fleishman has been “placed on leave” and that its relationship with Shimoon and Longeria ended earlier this year.