The coolest place on the internet, according to this tagline.
AskArchiveFAQ

March 17, 2013

Hedge fund, facing insider trading accusations, pays out massive settlements

  • $616M the amount that affiliates of the high-profile hedge fund SAC will pay out in two civil lawsuits in an effort to fend off accusations of insider trading. The settlements, which include no admittance of wrongdoing, would not preclude future lawsuits or criminal charges against the firm, which was founded by Steven A. Cohen, one of the world’s richest men. “We cannot tolerate a market rigged for the benefit of insiders and their cronies,” said the SEC’s George Canellos. source
9:58 // 1 year ago
January 19, 2013
(M)embers of Congress, who often gain access to inside information about a company while they are lobbied and who also have some ability to influence the fate of companies through legislation, return a profit on their investments that beats market averages by 5 to 10 percent per year, a remarkable rate that would make even Bernie Madoff blush.

Nate Silver, “The Signal and the Noise,” page 342. (via joshsternberg)

The STOCK Act, passed by a heavy margin to hopefully curtail congressional insider trading, has encountered legal challenges since last year’s passage, and full implementation won’t occur until April 2013

15:39 // 1 year ago
June 16, 2012

Former Goldman Sachs board member Rajat Gupta found guilty of insider trading

  • 4 insider trading convictions for former Goldman Sachs board member source

» Raj and Rajat: Back in 2011 Raj Rajaratnam, the founder of the once-colossal Galleon Group hedge fund management firm, was sentenced to 11 years in prison for insider trading. Rajaratnam had gained choice information unavailable to the public at large by using a series of secret contacts – one of whom, Rajat Gupta, has now faced the music himself. Prosecutors successfully argued that Gupta, a former board member of both Goldman Sachs and Procter & Gamble, was one of Rajaratnam’s sources, leaking him the details of Goldman’s first-ever quarterly loss in late 2008. Convicted on four out of six counts of insider trading, Gupta will likely face prison time when sentenced later in the year.

Follow ShortFormBlog • Find us on Twitter & Facebook

15:09 // 1 year ago
April 4, 2012
14:44 // 2 years ago
November 14, 2011

soupsoup:

Members of Congress can legally trade stock based on non-public information from Capitol Hill.

As Lizzie O’Leary points out, much of this report owes its information from the work done by Brody Mullins at the Wall Street Journal:

Friends, read up on this story this morning. This is important. This is a major loophole in the law that proves most of the arguments we might have about the financial system. And thanks to “60 Minutes” doing such a thorough report on it, it’s now something that the public will now be able to act upon. Many people are named in the report, including John Boehner and Spencer Bachus.

10:15 // 2 years ago
October 11, 2011

More on Raj Rajaratnam and taking the fall

thenoobyorker says: I would love to see this not end with Rajaratnam, they may use him as an example but there are others that could/ should go to jail as well.

» SFB says: Assuming that’s how a lot of people feel about the situation. There were a lot of people who did bad things during this era. How it seems to us that financial industry crimes tend to happen is that someone takes the fall for something that goes way beyond that person. In a lot of ways, that’s what the Occupy movement seems to be about — not letting that simply happen. — Ernie @ SFB

11:10 // 2 years ago
Ex-Hedge fund trader Raj Rajaratnam could get huge prison sentence: The U.S. government wants Rajaratnam, center, to receive between 19 and 1/2 years and 24 and 1/2 years for his insider-trading crimes, considered to be the worst since the 1980s. Is that enough? source Follow ShortFormBlog

Ex-Hedge fund trader Raj Rajaratnam could get huge prison sentence: The U.S. government wants Rajaratnam, center, to receive between 19 and 1/2 years and 24 and 1/2 years for his insider-trading crimes, considered to be the worst since the 1980s. Is that enough? source

Follow ShortFormBlog

10:44 // 2 years ago
May 12, 2011
washingtonpost:

» Bin Laden’s focus on U.S. led to rift» Trading one deluge for another? » Guantanamo inmates could get family visits» Hedge fund billionaire guilty in major insider-trading case» A student of history, Gingrich has his own to overcome

Today’s front page: Great to see the Washington Post doing this. It reminds us of an old friend of ours.
11:10 // 2 years ago
May 11, 2011
11:07 // 2 years ago
March 8, 2011
Hey, insider trading fans: Keep an eye on this dude’s trial!: The trial of Raj Rajaratnam, the founder of the Galleon hedge fund, starts today. Raj reportedly made $45 million in illicit profits – the worst case of insider trading in a generation. source Follow ShortFormBlog

Hey, insider trading fans: Keep an eye on this dude’s trial!: The trial of Raj Rajaratnam, the founder of the Galleon hedge fund, starts today. Raj reportedly made $45 million in illicit profits – the worst case of insider trading in a generation. source

Follow ShortFormBlog

10:39 // 3 years ago