Democratic nominee May Nivar, challenging incumbent Del. David Owen (R-Henrico) in Virginia’s competitive House District 57 race, is facing renewed scrutiny after federal prosecutors identified her as a “co-conspirator” in the insider trading investigation in the federal case U.S.A. v. Fricker, dating back more than two decades.
The scheme involved confidential merger information leaked from Goldman Sachs and Credit Suisse First Boston. Though never charged, court documents also accuse Nivar, a longtime corporate executive and Richmond-area resident, of providing false statements during the probe.
“May Nivar is a person who the Government contends was a co-conspirator of the Defendant in the conspiracy to trade in securities on inside information which is the subject of this indictment,” a complaint authored by Assistant U.S. Attorneys Robert S. Khuzami and Patrick J. Smith reads.
The insider trading scandal centers on documents linking Nivar to the federal case involving the passing of confidential information through close associates in the early 2000s.
“The Government has advised defense counsel that, in direct contradiction of its principal witness, John Freeman, Ms. Nivar denies that Freeman told a group of people that ate lunch together, including Ms. Nivar and the Defendant, that he had inside information on various corporate deals that he had learned while working as a word processor at two investment banks,” the complaint reads.
The case revolved around John Freeman, a temporary employee at Goldman Sachs and Credit Suisse First Boston, who passed insider information to friends and colleagues, including a Philip Morris employee, Linda Karlsen, a close associate of Nivar’s at the time.
Nivar has worked for nearly three decades at tobacco giant Philip Morris and its successor company Altria, holding roles in marketing, communications and corporate citizenship. Her recent tenure has included leadership positions in diversity and equity. Nivar’s LinkedIn page notes she currently serves in a senior management role at Altria’s headquarters in Richmond.
According to court records from the U.S. District Court for the Southern District of New York, Nivar attended multiple lunches in the late 1990s with Karlsen, Freeman and other Philip Morris employees where confidential corporate deals were allegedly discussed.
While Nivar said she did not know insider information was being shared, her account contradicted Freeman’s testimony, and federal prosecutors stated they did not believe her.
Nivar was interviewed twice by U.S. attorneys in 2000 while working as a brand analyst for Philip Morris.
During those interviews, Nivar’s attorney Solomon Kaplan said Nivar had been part of the conversations but did not know they involved insider trading.
“Nivar told the Government that stocks or mergers or acquisitions were discussed at those meetings but that she did not understand the information that Freeman discussed at those lunches to be inside information,” an affidavit filed in the case reads.
However, Nivar allegedly “panicked” after U.S. attorneys threatened to prosecute her for sharing false information. Nivar’s attorney, Kaplan, later acknowledged Nivar was “not completely truthful” in those interviews and was prepared to invoke her Fifth Amendment right against self-incrimination if called to testify.
“(Kaplan) also told us that he informed the Government in this conversation that he had determined that his client had not been completely truthful with the Government,” the affidavit reads.
Subsequently, Nivar refused to answer further questions.
“This decision was based upon the Government telling Nivar that they did not believe her and that she could face prosecution under 18 U.S.C. § 1001 for false statements she made during the course of her interview with the Government,” the affidavit reads.
Though Nivar was never indicted, the government referred to her in court as “a person who the Government contends was a co-conspirator,” and defense lawyers unsuccessfully sought to compel the government to grant her immunity.
These details come at a politically sensitive moment. Nivar is challenging Owen in a suburban swing district carried by Vice President Kamala Harris in 2024 by over nine points.
Owen has framed the contest as a choice between “common sense” governance and what he describes as Nivar’s “radical agenda,” focusing on issues such as diversity, equity and inclusion in schools, parental consent for abortion and gender identity policies.
He has also criticized Nivar’s alleged policy positions as likely to increase energy costs and undermine core values, while emphasizing his record on teacher pay, tax relief, public safety and bipartisan cooperation.
Nivar has not commented publicly on the matter. The timing of these revelations could affect her campaign momentum in a district Democrats view as a key pickup opportunity.
The controversy adds to a campaign already marked by the recent arrest of Susanna Gibson Payne, Nivar’s predecessor as Owen’s Democratic challenger, on domestic violence charges amid personal scandals.
Payne’s 2023 race against Owen received international attention after she was revealed to have produced and sold pornography featuring herself.
Early in-person voting began Sept. 19 and continues through Nov. 1, with Election Day on Nov. 4.
