Senior executives and board members of publicly traded U.S. companies often engage in illegal insider trading. In the U.S., illegal insider trading is profitable and carries little penalty if you get caught. Most of all it just plain fun. Ask Robert Moffat.
Here is a real world example. Robert Moffat, a former senior VP at IBM and former board member of Lenovo, pleaded guilty on March 29, 2010 to conspiracy and securities fraud. His expected punishment for enabling illegal insider trading– ZERO TO SIX MONTHS IN JAIL. Here is the kicker. He didn’t have to agree to cooperate with prosecutors in the Galleon case to get the lenient plea deal.
An IBM spokesperson said that Mr. Moffat’s crime was a private matter between the government and Mr. Moffat. No, it is not. It is a matter to disclose to the shareholders of IBM and Lenovo. Is this how senior executives at IBM conduct themselves? Does Lenovo’s board of directors actively engage in illegal insider trading? Does it feel awesome to screw your shareholders?
Mr. Moffat provided the illegal insider trading information to Danielle Chiesi. Mr. Moffat’s lawyer stated that Mr. Moffat did not trade on the information and did not receive financial benefit from the information or illegal insider trading. Are we or the shareholders to believe that Mr. Moffat received nothing in return for spilling confidential information? What exactly did Mr. Moffat receive? Are shareholders to believe that he was just helping Ms. Chiesi because she was a friend? Here is a question no investment professional will ask – Did Mr. Moffat receive a bonus in 2009 from either IBM or Lenovo?
Is any retail or institutional shareholders of IBM or Lenovo angry enough or concerned enough to voice their displeasure with the actions of Mr. Moffat? Of course not. This is how business is now done in America.
What does this mean to you? Illegal insider trading is rampant at publicly traded U.S. corporations. Remember that when you invest in a publicly traded U.S. company. With light sentences for illegal insider trading, you can expect senior executives to continue engaging in that activity. The U.S. Attorney’s office and U.S. Magistrate Judge Frank Maas should be ashamed of themselves for not standing up for shareholders in IBM and Lenovo.
Mr. Moffat will soon be hired as a senior executive at another publicly traded U.S. company so he can continue to screw the investing public. You have been warned.
Source: WSJ 3/30/10.
Note: Raj Rajaratnam, the founder of Galleon, and Danielle Chiesi have plead not guilty in the Galleon illegal insider trading case. Their trial will start in late October of 2010.
Monday, March 29, 2010
Sunday, February 28, 2010
UBS: U B Screwed
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
UBS, AG should have a new slogan - You Be Screwed. UBS often times will place its interests before that of its customers. UBS’s employees will often place their personal interests before that of UBS’s customers. This is not unusual. This is how American bankers now do business.
Here is a real world example. David Shulman, the former Global Head of the UBS AG Municipal Securities Group and Head of the UBS Securites LLC Fixed Income for the Americas, was convicted of illegal insider trading by Andrew Cuomo, the New York Attorney General. Mr. Shulman sold his personal holdings of auction rate securities before notifying his customers. He saved himself to the detriment of the customers of UBS. Deal with UBS and U B Screwed.
Mr. Shulman must pay New York State $2.75 million and cannot be employed or associated with a broker-dealer for thirty months. Realize that the payment to NY State is not a penalty. It is just the illegal gains Mr. Shulman made from his illegal auction rate securities sales. Mr. Shulman will be coming to a consulting company near you. How would you like having a felon providing consulting services to you? This is how business is now done in America.
What does this mean to you? Realize that American bankers often place their company’s and their personal interests before their customers.
Realize that illegal insider trading is still fun, profitable, and difficult to prosecute. Mr. Shulman could have set up a blind trust and then fed information to the investment manager of that trust. Mr. Shulman is a felon and an idiot.
UBS’s internal controls were non-existent. UBS should have caught the trade by Mr. Shulman. Maybe they did and did nothing about it. Where was the inquiry into UBS’s internal controls?
UBS still has not provided the names of 4,450 Americans with secret accounts in Switzerland (WSJ February 25, 2010). This is a huge story. How many politicians, tax cheats, and organized crime syndicates are included in that group of 4,450 Americans? Here is an idea. Either UBS provides the U.S. authorities with the names of those 4,450 Americans or their charter is pulled.
Source: Website of the NY Attorney General. Reported on February 18, 2010.
UBS, AG should have a new slogan - You Be Screwed. UBS often times will place its interests before that of its customers. UBS’s employees will often place their personal interests before that of UBS’s customers. This is not unusual. This is how American bankers now do business.
Here is a real world example. David Shulman, the former Global Head of the UBS AG Municipal Securities Group and Head of the UBS Securites LLC Fixed Income for the Americas, was convicted of illegal insider trading by Andrew Cuomo, the New York Attorney General. Mr. Shulman sold his personal holdings of auction rate securities before notifying his customers. He saved himself to the detriment of the customers of UBS. Deal with UBS and U B Screwed.
Mr. Shulman must pay New York State $2.75 million and cannot be employed or associated with a broker-dealer for thirty months. Realize that the payment to NY State is not a penalty. It is just the illegal gains Mr. Shulman made from his illegal auction rate securities sales. Mr. Shulman will be coming to a consulting company near you. How would you like having a felon providing consulting services to you? This is how business is now done in America.
What does this mean to you? Realize that American bankers often place their company’s and their personal interests before their customers.
Realize that illegal insider trading is still fun, profitable, and difficult to prosecute. Mr. Shulman could have set up a blind trust and then fed information to the investment manager of that trust. Mr. Shulman is a felon and an idiot.
UBS’s internal controls were non-existent. UBS should have caught the trade by Mr. Shulman. Maybe they did and did nothing about it. Where was the inquiry into UBS’s internal controls?
UBS still has not provided the names of 4,450 Americans with secret accounts in Switzerland (WSJ February 25, 2010). This is a huge story. How many politicians, tax cheats, and organized crime syndicates are included in that group of 4,450 Americans? Here is an idea. Either UBS provides the U.S. authorities with the names of those 4,450 Americans or their charter is pulled.
Source: Website of the NY Attorney General. Reported on February 18, 2010.
Friday, February 26, 2010
More Fun with Auction Rate Securities
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
American banks will many times sell products that devastate their customer’s financial health. Auction rate securities are one such product.
Here is a real world example. Oppenheimer and Company, Inc., a broker-dealer, agreed to restore $31 million to retail investors holding illiquid auction rate securities. Fourteen broker-dealers have settled with the New York Attorney General, Andrew Cuomo. These brokers have agreed to buyback $60 billion of auction rate securities from retail customers. A listing of the banks and broker-dealers can be found at the end of this post.
The New York Attorney General’s nationwide investigation “into the auction rate securities market found that auction rate securities had been marketed and sold as safe, cash-equivalent products, when in fact they faced increasing liquidity risk.”
What does this mean to you? Banks and broker-dealers care about making money and will do anything to acquire it. They will sell you products ill suited to your investment goals. Banks should have known that auction rate securities carried more risk than money market investments. Yet they sold them to retail and corporate clients as cash-equivalent products. Were the banks ignorant and incompetent as regards the nature of auction rate securities? Did the banks know the risks of auction rate securities and decide to sell them to unsuspecting clients as cash-equivalent products anyway? You can decide for yourself.
Realize that the settlement applied to retail customers only. Corporate customers have experienced great losses associated with auction rate securities. Corporate customers were expected to know the risks involved and will not receive settlements. How does this make you feel about the competence of financial professionals in some of America’s largest corporations?
Some corporations have sued the banks to recover losses from auction rate security investments (WSJ January 2, 2010). They will not receive a settlement. Corporate CEOs, CFOs, and treasurers are expected to know what their doing when creating and implementing an investment policy. Their investment in auction rate securities demonstrates their ignorance and incompetence regarding investment products.
Please remember that all these banks and their employees are still providing investment advice. The banks paid a fine but they are still able to dispense potentially devastating investment advice. You have been warned. This is how business is now done in America.
Scumbag Banks that sold auction rate securities as “cash-equivalent products”
Oppenheimer and Company, Inc.
Banc of America Securities LLC and Banc of America Investment Services, Inc.
Citigroup Global Markets Inc.
Credit Suisse Securities (USA) LLC
Deutsche Bank Securities Inc.
Fidelity Investments
Goldman Sachs & Co.
JPMorgan Chase & Co.
Merrill Lynch
Pierce, Fenner & Smith Inc.
Morgan Stanley & Co. Inc. and RBC Capital Markets Corporation
TD Ameritrade, Inc.
UBS Securities LLC and UBS Financial Services, Inc.
Wachovia Securities LLC and Wachovia Capital Markets Inc.
Source: Website of the New York Attorney General. Story reported on February 24, 2010.
American banks will many times sell products that devastate their customer’s financial health. Auction rate securities are one such product.
Here is a real world example. Oppenheimer and Company, Inc., a broker-dealer, agreed to restore $31 million to retail investors holding illiquid auction rate securities. Fourteen broker-dealers have settled with the New York Attorney General, Andrew Cuomo. These brokers have agreed to buyback $60 billion of auction rate securities from retail customers. A listing of the banks and broker-dealers can be found at the end of this post.
The New York Attorney General’s nationwide investigation “into the auction rate securities market found that auction rate securities had been marketed and sold as safe, cash-equivalent products, when in fact they faced increasing liquidity risk.”
What does this mean to you? Banks and broker-dealers care about making money and will do anything to acquire it. They will sell you products ill suited to your investment goals. Banks should have known that auction rate securities carried more risk than money market investments. Yet they sold them to retail and corporate clients as cash-equivalent products. Were the banks ignorant and incompetent as regards the nature of auction rate securities? Did the banks know the risks of auction rate securities and decide to sell them to unsuspecting clients as cash-equivalent products anyway? You can decide for yourself.
Realize that the settlement applied to retail customers only. Corporate customers have experienced great losses associated with auction rate securities. Corporate customers were expected to know the risks involved and will not receive settlements. How does this make you feel about the competence of financial professionals in some of America’s largest corporations?
Some corporations have sued the banks to recover losses from auction rate security investments (WSJ January 2, 2010). They will not receive a settlement. Corporate CEOs, CFOs, and treasurers are expected to know what their doing when creating and implementing an investment policy. Their investment in auction rate securities demonstrates their ignorance and incompetence regarding investment products.
Please remember that all these banks and their employees are still providing investment advice. The banks paid a fine but they are still able to dispense potentially devastating investment advice. You have been warned. This is how business is now done in America.
Scumbag Banks that sold auction rate securities as “cash-equivalent products”
Oppenheimer and Company, Inc.
Banc of America Securities LLC and Banc of America Investment Services, Inc.
Citigroup Global Markets Inc.
Credit Suisse Securities (USA) LLC
Deutsche Bank Securities Inc.
Fidelity Investments
Goldman Sachs & Co.
JPMorgan Chase & Co.
Merrill Lynch
Pierce, Fenner & Smith Inc.
Morgan Stanley & Co. Inc. and RBC Capital Markets Corporation
TD Ameritrade, Inc.
UBS Securities LLC and UBS Financial Services, Inc.
Wachovia Securities LLC and Wachovia Capital Markets Inc.
Source: Website of the New York Attorney General. Story reported on February 24, 2010.
Wednesday, February 24, 2010
New York Pension Funds: Pay to Play Fun
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Here is how state pension funds work in America. Large state pension funds with billions of dollars in assets use placement agents. These placement agents try to get investment managers business with the state pension funds. This is a perfect set up for bribes, graft, kickbacks, and corruption. A state pension fund with billions of dollars in assets should be able to evaluate investment managers themselves. There is no need for placement agents except for political contributions and bribery.
There is legislation pending that would regulate placement agents. Regulation is not needed. The large state pension funds need to do their job and meet their fiduciary responsibilities. Evaluate investment managers yourselves.
Here is a real world example. Andrew Cuomo, the New York Attorney General, has reached settlements with nine investment firms. These nine investment firms agreed to return $90 million to the New York State Common Retirement Fund. No one was sentenced to jail.
In addition, Hank Morris, a political advisor, has been charged with selling access to the New York State Common Retirement Fund. The New York Common Retirement Fund has $126 billion is assets.
What does this mean to you? State governments are open for business. Your business can buy access to any services or contracts in any state for the right price. If you have money, you can get states to do your bidding. Those caught providing kickbacks just pay a fine. They don’t go to jail. That way that can continue to pay kickbacks to politician. Are employees with funds in state pension funds angry? Of course not. Americans understand that corruption rules the day. This is how business is now done in America.
Source: WSJ February 18, 2010
Here is how state pension funds work in America. Large state pension funds with billions of dollars in assets use placement agents. These placement agents try to get investment managers business with the state pension funds. This is a perfect set up for bribes, graft, kickbacks, and corruption. A state pension fund with billions of dollars in assets should be able to evaluate investment managers themselves. There is no need for placement agents except for political contributions and bribery.
There is legislation pending that would regulate placement agents. Regulation is not needed. The large state pension funds need to do their job and meet their fiduciary responsibilities. Evaluate investment managers yourselves.
Here is a real world example. Andrew Cuomo, the New York Attorney General, has reached settlements with nine investment firms. These nine investment firms agreed to return $90 million to the New York State Common Retirement Fund. No one was sentenced to jail.
In addition, Hank Morris, a political advisor, has been charged with selling access to the New York State Common Retirement Fund. The New York Common Retirement Fund has $126 billion is assets.
What does this mean to you? State governments are open for business. Your business can buy access to any services or contracts in any state for the right price. If you have money, you can get states to do your bidding. Those caught providing kickbacks just pay a fine. They don’t go to jail. That way that can continue to pay kickbacks to politician. Are employees with funds in state pension funds angry? Of course not. Americans understand that corruption rules the day. This is how business is now done in America.
Source: WSJ February 18, 2010
Monday, February 22, 2010
Way to go J.P. Morgan Chase and Company
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
American bankers will often share your company’s confidential information with your competitors. Here’s how they do it. You and your company take out a loan with an American bank. Your company is then required to provide confidential information to that American bank as specified in the loan agreement. The American bank will then sell that information to your competitors.
Here is a real world example. Empresas Cablevision, a Mexican telcom company, learned this the hard way. Cablevision has been a customer of J.P. Morgan Chase for twenty years and had a loan from the bank in the amount of $225 million. J.P. Morgan Chase made Banco Imbursa a 90% participant in the loan. Banco Imbursa is controlled by Mr. Carlos Slim. Mr. Slim owns Telmex which is the main competitor to Cablevision. Way to go J.P. Morgan Chase. Way to screw over a customer. A judge stopped this travesty for now. I am sure J.P. Morgan Chase will continue to try to screw Cablevision. This is how business is now done in America.
What does this mean to you? When negotiating a loan agreement with an American bank, make sure strict confidentiality language is included. You can also require language preventing your competitors from participating in your loan. You may not want to do business with an American bank given that they often sell your information to your competitors. There are many fine banks in Asia and the European Union. Why do business with American bankers that have proven they are thoroughly corrupt? How many American loan officers think it is acceptable and profitable to sell your confidential information to your competitors? Do you think American authorities could catch them let alone convict them? Way to go J.P. Morgan Chase.
Here is some advice for Cablevision. Find another bank to loan you money. Find another bank to handle your cash management services. Again you may want to partner with one of the fine banks in Asia or the EU. Notify all your employees how J.P. Morgan Chase screwed your company. You don’t have to tell your employees that they should not do business with J.P. Morgan Chase. The notification will make that implication painfully clear. On a personal note, you should verbally tell the officers of J.P. Morgan Chase that Cablevision and its affiliates will not be doing business with them for a very long time.
Source: WSJ February 20, 2010
American bankers will often share your company’s confidential information with your competitors. Here’s how they do it. You and your company take out a loan with an American bank. Your company is then required to provide confidential information to that American bank as specified in the loan agreement. The American bank will then sell that information to your competitors.
Here is a real world example. Empresas Cablevision, a Mexican telcom company, learned this the hard way. Cablevision has been a customer of J.P. Morgan Chase for twenty years and had a loan from the bank in the amount of $225 million. J.P. Morgan Chase made Banco Imbursa a 90% participant in the loan. Banco Imbursa is controlled by Mr. Carlos Slim. Mr. Slim owns Telmex which is the main competitor to Cablevision. Way to go J.P. Morgan Chase. Way to screw over a customer. A judge stopped this travesty for now. I am sure J.P. Morgan Chase will continue to try to screw Cablevision. This is how business is now done in America.
What does this mean to you? When negotiating a loan agreement with an American bank, make sure strict confidentiality language is included. You can also require language preventing your competitors from participating in your loan. You may not want to do business with an American bank given that they often sell your information to your competitors. There are many fine banks in Asia and the European Union. Why do business with American bankers that have proven they are thoroughly corrupt? How many American loan officers think it is acceptable and profitable to sell your confidential information to your competitors? Do you think American authorities could catch them let alone convict them? Way to go J.P. Morgan Chase.
Here is some advice for Cablevision. Find another bank to loan you money. Find another bank to handle your cash management services. Again you may want to partner with one of the fine banks in Asia or the EU. Notify all your employees how J.P. Morgan Chase screwed your company. You don’t have to tell your employees that they should not do business with J.P. Morgan Chase. The notification will make that implication painfully clear. On a personal note, you should verbally tell the officers of J.P. Morgan Chase that Cablevision and its affiliates will not be doing business with them for a very long time.
Source: WSJ February 20, 2010
Thursday, February 11, 2010
Galleon Group, LLC Illegal Insider Trading Case: Another One Bites the Dust
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Illegal insider trading is still fun and profitable. It almost impossible to prosecute and even if convicted the sentences are light.
Here is a real world example. On February 8, 2010, Rajiv Goel, a former Intel Corporation manager, plead guilty to securities fraud. Mr. Goel fed information about Intel’s earning to his friend of 25 years, Raj Rajaratnam, the founder of Galleon Group, LLC. Mr. Goel also provided Mr. Rajaratnam information about Clearwire Corp. Mr. Goel has not been sentenced yet.
Eight people have now plead guilty in the Galleon Group, LLC illegal insider trading case. I will provide a list of their names and associated companies at the end of this post.
What does this mean to you? Be careful when you hire an American company to provide you with products or services. Many employees at American companies will actively seek non-public information about your company so they can earn illegal profits. This is how business is now done in America.
Here are the admitted felons in the Galleon Group, LLC case. These felons will receive light sentences. They will be coming to a hedge fund near you. You have been warned.
Galleon Group, LLC Case Felons: Steven “Tuna” Fortuna; Rajiv Goel, former Intel Corp. manager; Roomy Khan, former Intel Corp. employee; Anil Kumar, former McKinsey & Co. senior partner; Richard Lee; Brien Santarlas, Ropes & Gray LLP; Gauthan Shankar, Schottenfeld Group, LLC; David Slain, Chelsey Capital.
Illegal insider trading is still fun and profitable. It almost impossible to prosecute and even if convicted the sentences are light.
Here is a real world example. On February 8, 2010, Rajiv Goel, a former Intel Corporation manager, plead guilty to securities fraud. Mr. Goel fed information about Intel’s earning to his friend of 25 years, Raj Rajaratnam, the founder of Galleon Group, LLC. Mr. Goel also provided Mr. Rajaratnam information about Clearwire Corp. Mr. Goel has not been sentenced yet.
Eight people have now plead guilty in the Galleon Group, LLC illegal insider trading case. I will provide a list of their names and associated companies at the end of this post.
What does this mean to you? Be careful when you hire an American company to provide you with products or services. Many employees at American companies will actively seek non-public information about your company so they can earn illegal profits. This is how business is now done in America.
Here are the admitted felons in the Galleon Group, LLC case. These felons will receive light sentences. They will be coming to a hedge fund near you. You have been warned.
Galleon Group, LLC Case Felons: Steven “Tuna” Fortuna; Rajiv Goel, former Intel Corp. manager; Roomy Khan, former Intel Corp. employee; Anil Kumar, former McKinsey & Co. senior partner; Richard Lee; Brien Santarlas, Ropes & Gray LLP; Gauthan Shankar, Schottenfeld Group, LLC; David Slain, Chelsey Capital.
Wednesday, February 10, 2010
U.S. Audit Firm Employee Sentenced in Illegal Insider Trading Case
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
I must apologize. In my previous posts, I noted that lawyers, consultants, corporate officers, and hedge funds often engage in illegal insider trading. I failed to mention another U.S. business sector that often commits illegal insider trading. U.S. audit firms have now been implicated in illegal insider trading. Illegal insider trading is still profitable and the penalties are light.
Here is a real world example. James Gansman, a former Ernst & Young LLP employee, was sentence to a year and one day in jail for illegal insider trading on February 8, 2010. Mr. Gansman is a lawyer and fed insider information to Donna Murdoch, a managing director at a Pennsylvania broker-dealer. Mr. Gansman also had an affair with Ms. Murdoch. So, let’s recap. Mr. Gansman was a partner at a prestigious audit firm, a lawyer, convicted of six counts of securities fraud, and had an affair. He is truly a well-rounded scumbag.
Congratulations are due to U.S. District Judge Miriam Goldman Cedarbaum. Judge Cedarbaum’s light sentence of Mr. Gansman ensures others will continue to commit illegal insider trading. A year and one day in jail – you’ve got to be kidding me. Way to go Judge Cedarbaum. Mr. Gansman should be disbarred.
What does this mean to you? When hiring a U.S. firm to work for you, know that they are very likely to extract and use confidential information about you and your firm to generate illegal profits. I thought this was contained to law firms, consulting firms, hedge funds, and corporate officers. Prestigious U.S. audit firms are also highly likely to commit illegal insider trading. This is how business is now done in America.
Illegal insider trading is still profitable and the penalties are light. Just last week Mark Lenowitz, associated with the Galleon Group illegal insider trading case, was sentenced to three years probation. Mr. Gansman was only sentenced to a year and one day in jail. America’s once strong foundation is now rotten will corruption. A question to ponder – How long can a country remain great when vast numbers of its best and brightest citizens are corrupt?
I must apologize. In my previous posts, I noted that lawyers, consultants, corporate officers, and hedge funds often engage in illegal insider trading. I failed to mention another U.S. business sector that often commits illegal insider trading. U.S. audit firms have now been implicated in illegal insider trading. Illegal insider trading is still profitable and the penalties are light.
Here is a real world example. James Gansman, a former Ernst & Young LLP employee, was sentence to a year and one day in jail for illegal insider trading on February 8, 2010. Mr. Gansman is a lawyer and fed insider information to Donna Murdoch, a managing director at a Pennsylvania broker-dealer. Mr. Gansman also had an affair with Ms. Murdoch. So, let’s recap. Mr. Gansman was a partner at a prestigious audit firm, a lawyer, convicted of six counts of securities fraud, and had an affair. He is truly a well-rounded scumbag.
Congratulations are due to U.S. District Judge Miriam Goldman Cedarbaum. Judge Cedarbaum’s light sentence of Mr. Gansman ensures others will continue to commit illegal insider trading. A year and one day in jail – you’ve got to be kidding me. Way to go Judge Cedarbaum. Mr. Gansman should be disbarred.
What does this mean to you? When hiring a U.S. firm to work for you, know that they are very likely to extract and use confidential information about you and your firm to generate illegal profits. I thought this was contained to law firms, consulting firms, hedge funds, and corporate officers. Prestigious U.S. audit firms are also highly likely to commit illegal insider trading. This is how business is now done in America.
Illegal insider trading is still profitable and the penalties are light. Just last week Mark Lenowitz, associated with the Galleon Group illegal insider trading case, was sentenced to three years probation. Mr. Gansman was only sentenced to a year and one day in jail. America’s once strong foundation is now rotten will corruption. A question to ponder – How long can a country remain great when vast numbers of its best and brightest citizens are corrupt?
Tuesday, February 9, 2010
Illegal Insider Trading: Lawyers, Hedge Funds, Consultants, and Corporate Officers - Oh My!
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
If you want to know how business is really conducted in the U.S., pay attention to the Galleon Group, LLC case. A phalanx of lawyers, hedge funds, consultants, and corporate officers allegedly conspired to use insider information to earn illegal profits.
Galleon Group, LLC is a U.S. hedge fund founded by Raj Rajaratnam. Mr. Rajaratnam is a billionaire accused of illegal insider trading. He has plead not guilty. Why would a billionaire commit illegal insider trading? Maybe that is how he became a billionaire.
Several people have plead guilty to conspiracy and securities fraud. I will provide updates on the Galleon Group, LLC case as information becomes available. Here are some of the people who have plead guilty.
Mark Lenowitz, Q Capital Investment Partners, LP, Sentenced to 3 years probation.
Steven “Tuna” Fortuna, Hedge Fund Manager, Plead guilty to insider trading.
Roomy Khan, Former Intel employee, plead guilty on October 19, 2009.
Anil Kumar, Former McKinsey & Co. employee, plead guilty to conspiracy and securities fraud on January 7, 2010.
Richard C.B. Lee, hedge fund manager, plead guilty.
Brien Santarlas, Ropes & Gray, LLP law firm, plead guilty on December 10, 2009.
Gauthan Shankar, Schottenfeld Group, LLC hedge fund, plead guilty to insider trading charges.
David Slaine, Chelsey Capital hedge fund, plead guilty.
What does this mean to you? Know that lawyers, consultants, hedge funds, and corporate officers of publicly traded businesses will and do commit illegal insider trading. It is almost impossible to prosecute these people. When doing business in America, know that many in the financial community are trying to extract information from you so they can commit illegal insider trading. You have been warned. This is how business is now done in America.
Notice that Mr. Lenowitz only received three years probation. Those who commit illegal insider trading get light sentences. Lenient sentences ensure that financial professionals will continue to commit illegal insider trading. Congratulations to the U.S. justice system for perpetuating the financial rape of the American people.
If you want to know how business is really conducted in the U.S., pay attention to the Galleon Group, LLC case. A phalanx of lawyers, hedge funds, consultants, and corporate officers allegedly conspired to use insider information to earn illegal profits.
Galleon Group, LLC is a U.S. hedge fund founded by Raj Rajaratnam. Mr. Rajaratnam is a billionaire accused of illegal insider trading. He has plead not guilty. Why would a billionaire commit illegal insider trading? Maybe that is how he became a billionaire.
Several people have plead guilty to conspiracy and securities fraud. I will provide updates on the Galleon Group, LLC case as information becomes available. Here are some of the people who have plead guilty.
Mark Lenowitz, Q Capital Investment Partners, LP, Sentenced to 3 years probation.
Steven “Tuna” Fortuna, Hedge Fund Manager, Plead guilty to insider trading.
Roomy Khan, Former Intel employee, plead guilty on October 19, 2009.
Anil Kumar, Former McKinsey & Co. employee, plead guilty to conspiracy and securities fraud on January 7, 2010.
Richard C.B. Lee, hedge fund manager, plead guilty.
Brien Santarlas, Ropes & Gray, LLP law firm, plead guilty on December 10, 2009.
Gauthan Shankar, Schottenfeld Group, LLC hedge fund, plead guilty to insider trading charges.
David Slaine, Chelsey Capital hedge fund, plead guilty.
What does this mean to you? Know that lawyers, consultants, hedge funds, and corporate officers of publicly traded businesses will and do commit illegal insider trading. It is almost impossible to prosecute these people. When doing business in America, know that many in the financial community are trying to extract information from you so they can commit illegal insider trading. You have been warned. This is how business is now done in America.
Notice that Mr. Lenowitz only received three years probation. Those who commit illegal insider trading get light sentences. Lenient sentences ensure that financial professionals will continue to commit illegal insider trading. Congratulations to the U.S. justice system for perpetuating the financial rape of the American people.
Friday, February 5, 2010
A Typical Wall Street Investment Firm
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Corruption is rampant at U.S. financial institutions. Brokers sell products that many times are detrimental to their customers. Brokers may not even have basic knowledge about the products they sell. Some customers are treated preferentially. This is how business is now done in America.
Here is a real world example. On February 4, 2010, State Street Corp. agreed to pay $313 million to its customers. State Streets’s customers thought they had invested in a well diversified fixed-income fund. Little did they know that State Street had loaded up the fund with subprime mortgages. State Street maintained that the fund was well diversified. It wasn't. State Street then notified some preferred customers that they should redeem their shares in the fund. The other customers in the fund – they were screwed. State Street thinks some customers are more special than others.
Here are a few questions for Ronald E. Logue, State Street’s chairman and CEO.
You replaced the managers of the fixed-income fund. Are they still with your firm? They violated your policies and procedures. Did your terminate them? Did you recommend that their securities licenses be revoked? Did you just move them to another department so they can once again perpetrate financial rape?
The WSJ article stated that you recognize that meeting your fiduciary duties is critical. Did you meet your fiduciary duties when you told your customers the fund was well diversified when it wasn’t? Did you meet your fiduciary duties when you notified certain customers to redeem their shares thereby leaving the other customers in the fund at a disadvantage?
Are you the least bit concerned about the management of this fund Mr. Logue? Do you laugh you ass off about how you have deceived your customers?
Here are the last questions Mr. Logue. How angry do you think your customers are? How angry do you think the investing public is? I am livid.
What does this mean to you? Realize that corruption is rampant in the U.S. financial community. If you are a wealthy investor, you will be provided with advice to increase your investment returns to the detriment of non-wealthy investors. If you are a non-wealthy investor, you are screwed. Realize that the U.S. authorities do not have the resources to prosecute the massive corruption in the U.S. No one at State Street was prosecuted or lost their securities licenses. This ensures that the corruption will continue. Congratulations to State Street Corp. and Mr. Logue. You epitomize the U.S. financial system. This is how business is now done in America.
Corruption is rampant at U.S. financial institutions. Brokers sell products that many times are detrimental to their customers. Brokers may not even have basic knowledge about the products they sell. Some customers are treated preferentially. This is how business is now done in America.
Here is a real world example. On February 4, 2010, State Street Corp. agreed to pay $313 million to its customers. State Streets’s customers thought they had invested in a well diversified fixed-income fund. Little did they know that State Street had loaded up the fund with subprime mortgages. State Street maintained that the fund was well diversified. It wasn't. State Street then notified some preferred customers that they should redeem their shares in the fund. The other customers in the fund – they were screwed. State Street thinks some customers are more special than others.
Here are a few questions for Ronald E. Logue, State Street’s chairman and CEO.
You replaced the managers of the fixed-income fund. Are they still with your firm? They violated your policies and procedures. Did your terminate them? Did you recommend that their securities licenses be revoked? Did you just move them to another department so they can once again perpetrate financial rape?
The WSJ article stated that you recognize that meeting your fiduciary duties is critical. Did you meet your fiduciary duties when you told your customers the fund was well diversified when it wasn’t? Did you meet your fiduciary duties when you notified certain customers to redeem their shares thereby leaving the other customers in the fund at a disadvantage?
Are you the least bit concerned about the management of this fund Mr. Logue? Do you laugh you ass off about how you have deceived your customers?
Here are the last questions Mr. Logue. How angry do you think your customers are? How angry do you think the investing public is? I am livid.
What does this mean to you? Realize that corruption is rampant in the U.S. financial community. If you are a wealthy investor, you will be provided with advice to increase your investment returns to the detriment of non-wealthy investors. If you are a non-wealthy investor, you are screwed. Realize that the U.S. authorities do not have the resources to prosecute the massive corruption in the U.S. No one at State Street was prosecuted or lost their securities licenses. This ensures that the corruption will continue. Congratulations to State Street Corp. and Mr. Logue. You epitomize the U.S. financial system. This is how business is now done in America.
Thursday, February 4, 2010
A Typical U.S. Securities Broker
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Many U.S. securities brokers are not focused on the needs and goals of their customers. They will sell you financial products that earn them the highest commissions. Those financial products may be financially devastating to you.
Here is a real world example. Eric Butler, a former Credit Suisse Group broker, was sentenced to five years in jail. He told his corporate clients he was investing their money in federally guaranteed student loans. He was really investing their money in mortgage backed securities to earn himself higher commissions. The method he used was to rename investments. The Big Bad Mortgage Investment became the Good Safe Federally Guaranteed Student Loan Investment. Mr. Butler’s corporate clients lost approximately $500 million on investments of $1 billion. With good behavior, Mr. Butler will be out of jail in a few months so he can resume financially raping people.
Of course, Mr. Butler worked for Credit Suisse Group. Credit Suisse also likes to help terrorist nations like Iran with financial services. See my previous post on January 24th.
What does this mean to you? Many U.S. securities brokers care more about earning the highest commissions than your investment goals. They will sell you products that could bankrupt you.
Are corporate officers angry about the corrupt practices of U.S. financial professionals? Of course not. This is how business is now done in America.
Many U.S. securities brokers are not focused on the needs and goals of their customers. They will sell you financial products that earn them the highest commissions. Those financial products may be financially devastating to you.
Here is a real world example. Eric Butler, a former Credit Suisse Group broker, was sentenced to five years in jail. He told his corporate clients he was investing their money in federally guaranteed student loans. He was really investing their money in mortgage backed securities to earn himself higher commissions. The method he used was to rename investments. The Big Bad Mortgage Investment became the Good Safe Federally Guaranteed Student Loan Investment. Mr. Butler’s corporate clients lost approximately $500 million on investments of $1 billion. With good behavior, Mr. Butler will be out of jail in a few months so he can resume financially raping people.
Of course, Mr. Butler worked for Credit Suisse Group. Credit Suisse also likes to help terrorist nations like Iran with financial services. See my previous post on January 24th.
What does this mean to you? Many U.S. securities brokers care more about earning the highest commissions than your investment goals. They will sell you products that could bankrupt you.
Are corporate officers angry about the corrupt practices of U.S. financial professionals? Of course not. This is how business is now done in America.
Monday, February 1, 2010
U.S. Banker Incompetence or Fraud
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
U.S. bankers often sell products to their customers that are detrimental to their customer’s financial well being. Remember that bankers care more about earning high fees and commissions than your financial goals.
Here is a real world example. In August of 2008, several banks agree to buy back auction rate securities from retail investors and pay fines. Many times the banks told their customers that auction rate securities were as safe as money market investments. They weren’t. Maybe the banks actually believed the auction rate securities were safe as money market investments. In that case, the banks were incompetent. Maybe the banks knew the auction rate securities were not very safe and sold them to their customers anyway. In that case, the banks committed fraud. I expect fraud. None of the bankers went to jail.
Here is deal the banks accepted in August of 2008.
JP Morgan Chase agreed to buy back $3.0 billion of auction rate securities from retail customers and pay a fine of $25 million.
Morgan Stanley agreed to buy back $4.5 billion of auction rate securities from retail customers and pay a fine of $35 million.
Citigroup, Inc. agreed to buy back $7.0 billion of auction rate securities from retail customers and pay a fine of $100 million.
UBS AG agreed to buy back $20.0 billion of auction rate securities from retail customers. I did not find documentation as to the fine paid.
You think this is bad. Wait until you hear how the banks screwed their corporate customers by marketing auction rate securities.
What does this mean to you? Remember that bankers care more about earning high fees and commissions than your piddling financial goals. Bankers only want to maximize fee and commissions. Banks don’t care if you go bankrupt due to their advice. In fact, they laugh about how they screw over their customers. They think it is hilarious. This is how business is now done in America.
U.S. bankers often sell products to their customers that are detrimental to their customer’s financial well being. Remember that bankers care more about earning high fees and commissions than your financial goals.
Here is a real world example. In August of 2008, several banks agree to buy back auction rate securities from retail investors and pay fines. Many times the banks told their customers that auction rate securities were as safe as money market investments. They weren’t. Maybe the banks actually believed the auction rate securities were safe as money market investments. In that case, the banks were incompetent. Maybe the banks knew the auction rate securities were not very safe and sold them to their customers anyway. In that case, the banks committed fraud. I expect fraud. None of the bankers went to jail.
Here is deal the banks accepted in August of 2008.
JP Morgan Chase agreed to buy back $3.0 billion of auction rate securities from retail customers and pay a fine of $25 million.
Morgan Stanley agreed to buy back $4.5 billion of auction rate securities from retail customers and pay a fine of $35 million.
Citigroup, Inc. agreed to buy back $7.0 billion of auction rate securities from retail customers and pay a fine of $100 million.
UBS AG agreed to buy back $20.0 billion of auction rate securities from retail customers. I did not find documentation as to the fine paid.
You think this is bad. Wait until you hear how the banks screwed their corporate customers by marketing auction rate securities.
What does this mean to you? Remember that bankers care more about earning high fees and commissions than your piddling financial goals. Bankers only want to maximize fee and commissions. Banks don’t care if you go bankrupt due to their advice. In fact, they laugh about how they screw over their customers. They think it is hilarious. This is how business is now done in America.
Saturday, January 30, 2010
Switzerland Tells the U.S. to Screw Itself
There are 4,450 Americans still holding secret bank accounts at UBS AG. In August of 2009, UBS AG agreed to turn over the names of those Americans to U.S. authorities. On January 27, 2010 the Swiss government said UBS AG did not have to turn over those names.
Who are these 4,450 Americans? They could just be evading taxes. The Swiss could just be following the rule of law. But there are concerning issues here. The 4,450 Americans could be politicians, involved with criminal organizations, or funding terrorist organizations. We don’t know. This concerns tax evasion at a minimum. There could be national security issues. The U.S. authorities are allowing the wealthy to commit crimes. The U.S. authorities aren’t doing their jobs.
Here is an idea. If UBS AG doesn’t provide the names, pull their charter to operate in the U.S. In February of 2009, UBS AG agreed to pay $780 million to avoid criminal prosecution. I have not found documentation that UBS AG paid this fine.
What does this mean to you? Realize that many of the wealthiest Americans are evading taxes. The best and the brightest have no problem with committing financial crimes to enhance their wealth. There were 15,000 Americans that turned themselves in for tax evasion under an amnesty program. Realize also that the U.S. authorities are unable to deal with the level of financial corruption in America.
If you want to evade taxes in your country you know where to go – UBS AG.
Is anyone in America angry about the rampant corruption in the financial world? Of course not. This is how business in now done in America.
Who are these 4,450 Americans? They could just be evading taxes. The Swiss could just be following the rule of law. But there are concerning issues here. The 4,450 Americans could be politicians, involved with criminal organizations, or funding terrorist organizations. We don’t know. This concerns tax evasion at a minimum. There could be national security issues. The U.S. authorities are allowing the wealthy to commit crimes. The U.S. authorities aren’t doing their jobs.
Here is an idea. If UBS AG doesn’t provide the names, pull their charter to operate in the U.S. In February of 2009, UBS AG agreed to pay $780 million to avoid criminal prosecution. I have not found documentation that UBS AG paid this fine.
What does this mean to you? Realize that many of the wealthiest Americans are evading taxes. The best and the brightest have no problem with committing financial crimes to enhance their wealth. There were 15,000 Americans that turned themselves in for tax evasion under an amnesty program. Realize also that the U.S. authorities are unable to deal with the level of financial corruption in America.
If you want to evade taxes in your country you know where to go – UBS AG.
Is anyone in America angry about the rampant corruption in the financial world? Of course not. This is how business in now done in America.
Thursday, January 28, 2010
A Typical NYC Financial Professional
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Many New York City financial professionals lack the qualities that made America great. The New York City financial professionals are leading America into a era of inferiority.
Here is a real world example. Steven Fortuna, 47, A hedge-fund manager of S2 Capital LLC, plead guilty to insider tranding in October of 2009. He has agreed to cooperate with the government and he cried three times before a judge when he plead guilty. His nickname was "Tuna."
He is typical of a New York City financial professional. Mr. Fortuna plead guilty to illegal insider trading. He cried repeatedly in court. Congratulations Mr. Fortuna. You are a felon and a pansy.
What does this mean to you? Remember that when you are dealing with a New York City financial professional that he may be a pansy. I am not referring to sexual orientation. It is about courage, strength, and ethics. There is a high probability that the New York City financial professionals you are dealing with have none of those qualities. Congratulations to the New York City financial professionals. You are leading America into a prolonged period of inferiority.
Many New York City financial professionals lack the qualities that made America great. The New York City financial professionals are leading America into a era of inferiority.
Here is a real world example. Steven Fortuna, 47, A hedge-fund manager of S2 Capital LLC, plead guilty to insider tranding in October of 2009. He has agreed to cooperate with the government and he cried three times before a judge when he plead guilty. His nickname was "Tuna."
He is typical of a New York City financial professional. Mr. Fortuna plead guilty to illegal insider trading. He cried repeatedly in court. Congratulations Mr. Fortuna. You are a felon and a pansy.
What does this mean to you? Remember that when you are dealing with a New York City financial professional that he may be a pansy. I am not referring to sexual orientation. It is about courage, strength, and ethics. There is a high probability that the New York City financial professionals you are dealing with have none of those qualities. Congratulations to the New York City financial professionals. You are leading America into a prolonged period of inferiority.
Monday, January 25, 2010
The Whistleblower, Tax Cheats, and the U.S. Department of Justice
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Don’t be a whistleblower. You will go to jail and pay hefty fines. The people you testify against will get little if any punishment.
A whistleblower is a person, usually within an organization, who testifies about the wrongdoing that organization is perpetrating. The whistleblower is many times the only person able to provide evidence of wrongdoing.
Here is a real world example. Bradley Birkenfeld, a UBS AG private banker, was sent to jail for 40 months on January 8, 2010. Mr. Birkenfeld was the only person who could provide evidence of wrongdoing at UBS AG. Prosecutors stated that without Mr. Birkenfeld they did not have a case. What was Mr. Birkenfeld’s reward for exposing flagrant fraud and tax evasion? Forty months in jail. The U.S. Justice Department has ensured that whistleblowers will not expose bank fraud in the future.
What was the result of Mr. Birkenfeld’s testimony? UBS AG agreed to pay $780 million in February 2009 because they were helping U.S. citizens evade taxes. UBS AG also agreed to turn over the names of 4,450 account holders with secret accounts. But wait there’s more. The Swiss government may not allow the names to be turned over to U.S. authorities as reported on January 23, 2010.
So UBS AG can still operate in the U.S. Secret account holders who are evading taxes have received little punishment. The person key to exposing this fraud is jailed.
What does this mean to you? Never be a whistleblower. Know that if you are wealthy you can evade U.S. taxes by setting up a secret account in Switzerland. Please note that the U.S. provided amnesty to any secret account holder that came forward.
What if you aren’t wealthy? You are screwed. You will pay all of your taxes or you will be jailed and fined. As Leona Helmsley, deceased president of Helmsley Hotels and one of the world’s richest people, stated “only little people pay taxes.” If you are not wealthy you are a little person.
Is anyone in the U.S. concerned and/or angry about this tax fraud? No. The U.S. government understands that the banks and the wealthy must be protected and exonerated. The U.S. government understands that whistleblowers must me punished.
The Swiss ruling on whether to turn over the names of U.S. tax cheats will be made on January 27, 2010. Do you think the Swiss will allow the names of wealthy U.S. tax cheats to be turned over?
Don’t be a whistleblower. You will go to jail and pay hefty fines. The people you testify against will get little if any punishment.
A whistleblower is a person, usually within an organization, who testifies about the wrongdoing that organization is perpetrating. The whistleblower is many times the only person able to provide evidence of wrongdoing.
Here is a real world example. Bradley Birkenfeld, a UBS AG private banker, was sent to jail for 40 months on January 8, 2010. Mr. Birkenfeld was the only person who could provide evidence of wrongdoing at UBS AG. Prosecutors stated that without Mr. Birkenfeld they did not have a case. What was Mr. Birkenfeld’s reward for exposing flagrant fraud and tax evasion? Forty months in jail. The U.S. Justice Department has ensured that whistleblowers will not expose bank fraud in the future.
What was the result of Mr. Birkenfeld’s testimony? UBS AG agreed to pay $780 million in February 2009 because they were helping U.S. citizens evade taxes. UBS AG also agreed to turn over the names of 4,450 account holders with secret accounts. But wait there’s more. The Swiss government may not allow the names to be turned over to U.S. authorities as reported on January 23, 2010.
So UBS AG can still operate in the U.S. Secret account holders who are evading taxes have received little punishment. The person key to exposing this fraud is jailed.
What does this mean to you? Never be a whistleblower. Know that if you are wealthy you can evade U.S. taxes by setting up a secret account in Switzerland. Please note that the U.S. provided amnesty to any secret account holder that came forward.
What if you aren’t wealthy? You are screwed. You will pay all of your taxes or you will be jailed and fined. As Leona Helmsley, deceased president of Helmsley Hotels and one of the world’s richest people, stated “only little people pay taxes.” If you are not wealthy you are a little person.
Is anyone in the U.S. concerned and/or angry about this tax fraud? No. The U.S. government understands that the banks and the wealthy must be protected and exonerated. The U.S. government understands that whistleblowers must me punished.
The Swiss ruling on whether to turn over the names of U.S. tax cheats will be made on January 27, 2010. Do you think the Swiss will allow the names of wealthy U.S. tax cheats to be turned over?
Sunday, January 24, 2010
Financial Institutions and Terrorists
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are from current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Financial professionals will do anything to earn money and I mean anything. You may have already had suspicions of this but now we know it is true.
Here is a real world example. In December of 2009, Credit Suisse was fined $536 million by the U.S. for aiding Iran with financial services. Here is another. Lloyds TBS was fined $350 million by the U.S. for helping Iran and Sudan evade U.S. sanctions.
So Credit Suisse and Lloyds TBS enable Iran to continue their nuclear weapons program. Executives at these financial institutions want profits now even if it means the incineration of a few hundred thousand Jews later. Congratulations Credit Suisse and Lloyds TSB. You have materially advanced the possibility that Iran will incinerate thousands of Jews. At least you made lots of profits.
The U.S. did not pull these institution’s charters to operate in the U.S. The U.S. understands that profits are all important even if terrorists are enabled.
What does this mean to you? U.S. financial institutions will fund enemies of your country as long as they can earn a profit. If U.S. financial institutions will provide services to Iran, Sudan, and Cuba, they will certainly fund terrorist groups in your country. It’s all about profit not national security. Remember that U.S. financial professionals don’t care about you, your family, your company, your country, or your safety. They care about profit and if some people die so be it. This is how business is done in America.
Financial professionals will do anything to earn money and I mean anything. You may have already had suspicions of this but now we know it is true.
Here is a real world example. In December of 2009, Credit Suisse was fined $536 million by the U.S. for aiding Iran with financial services. Here is another. Lloyds TBS was fined $350 million by the U.S. for helping Iran and Sudan evade U.S. sanctions.
So Credit Suisse and Lloyds TBS enable Iran to continue their nuclear weapons program. Executives at these financial institutions want profits now even if it means the incineration of a few hundred thousand Jews later. Congratulations Credit Suisse and Lloyds TSB. You have materially advanced the possibility that Iran will incinerate thousands of Jews. At least you made lots of profits.
The U.S. did not pull these institution’s charters to operate in the U.S. The U.S. understands that profits are all important even if terrorists are enabled.
What does this mean to you? U.S. financial institutions will fund enemies of your country as long as they can earn a profit. If U.S. financial institutions will provide services to Iran, Sudan, and Cuba, they will certainly fund terrorist groups in your country. It’s all about profit not national security. Remember that U.S. financial professionals don’t care about you, your family, your company, your country, or your safety. They care about profit and if some people die so be it. This is how business is done in America.
Friday, January 22, 2010
How to Earn Millions in America
Here you will find the all the exciting details of how to do business in America. This isn’t boring theory or textbook learning. All of the examples are current, real-world events. Learn from the greatest American business institutions and people how to operate in the U.S.
Here is how you can earn hundreds of thousands and maybe even millions of dollars every year. The method employed by many financial professionals, hedge fund managers, and pension managers is insider trading. Insider trading is fun and lucrative. But isn’t insider trading illegal?
No. There are at least two types of insider trading. Corporate officers and board members that trade their own company’s stock are engaging in legal insider trading and are required to file a form with the SEC. The second type is insider trading is illegal. That is when someone with non-public information uses that information to generate stock profits.
The likelihood of getting caught is minimal. The probability of getting prosecuted is miniscule. Almost no one is given more than probation. That is why illegal insider trading is rampant in the U.S. Many U.S. financial professionals engage in illegal insider trading.
Here is a real world example. Anil Kumar, a former senior partner at McKinsey & Co., pleaded guilty to conspiracy and securities fraud on January 7, 2010. He earned $1.75 million by providing insider information to Galleon Group.
This is how business is done in America. McKinsey & Co. is a premier consulting company. A senior partner, Anil Kumar, engaged in illegal insider trading. If the best and brightest in the U.S. are engaged in illegal insider trading, you absolutely know that illegal insider trading is pervasive in the U.S.
What does this mean to you? Know that when you hire or work with an American firm the employees of that firm will try to get inside information to earn illegal stock profits. This is how business in done in America.
Here is how you can earn hundreds of thousands and maybe even millions of dollars every year. The method employed by many financial professionals, hedge fund managers, and pension managers is insider trading. Insider trading is fun and lucrative. But isn’t insider trading illegal?
No. There are at least two types of insider trading. Corporate officers and board members that trade their own company’s stock are engaging in legal insider trading and are required to file a form with the SEC. The second type is insider trading is illegal. That is when someone with non-public information uses that information to generate stock profits.
The likelihood of getting caught is minimal. The probability of getting prosecuted is miniscule. Almost no one is given more than probation. That is why illegal insider trading is rampant in the U.S. Many U.S. financial professionals engage in illegal insider trading.
Here is a real world example. Anil Kumar, a former senior partner at McKinsey & Co., pleaded guilty to conspiracy and securities fraud on January 7, 2010. He earned $1.75 million by providing insider information to Galleon Group.
This is how business is done in America. McKinsey & Co. is a premier consulting company. A senior partner, Anil Kumar, engaged in illegal insider trading. If the best and brightest in the U.S. are engaged in illegal insider trading, you absolutely know that illegal insider trading is pervasive in the U.S.
What does this mean to you? Know that when you hire or work with an American firm the employees of that firm will try to get inside information to earn illegal stock profits. This is how business in done in America.
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