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Twilio employees, associates charged with insider trading by SEC

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Re: Twilio employees, associates charged with insider trading by SEC

#71

Post by Workaccount2 »

xyst wrote: post #27

This is a proud win in the SEC handbook? $1 million dollars is fucking chump change. Whales do this on a 1000X scale every fucking day (yes billions). They even collaborate amongst other trading firms to pump and dump. Where's the prosecution related to the GME + Citadel Securities + Melvin Capital illegal naked short selling? Remember when this group was hemorrhaging billions of dollars and forced RH to remove the "…

Apes have an understanding of financial markets that's about on par with 9/11 truthers understanding of civil engineering.

They get little bits right, but the whole picture wrong.

Re: Twilio employees, associates charged with insider trading by SEC

#72

Post by RC_ITR »

tempsy wrote: post #31
RC_ITR wrote: post #23

Earlier quoted context omitted.

>The Securities and Exchange Commission today announced insider trading charges against three software engineers employed at Twilio, Inc., a San Francisco-based cloud computing communications company, and four family members and friends for allegedly generating more than $1 million in collective profits by insider trading ahead of the company’s positive first quarter 2020 earnings announcement on May 6, 2020. This, a…

i mean it’s not clear it could have been all of them. not really the point i’m making..yes it could have been done exclusively using family that the government clearly knows you’re linked to. maybe more difficult with friends.

Please read the articles before commenting on them:

>Sure, Lagudu and Chotu Pulagam knowingly tipped off, or used the brokerage accounts of, their family and close friends – Dileep Kamujula, Sai Nekkalapudi, Abhishek Dharmapurikar and Chetan Pulagam – to trade Twilio options and stock in advance of its May 6,

Re: Twilio employees, associates charged with insider trading by SEC

#73

Post by tempsy »

sidewndr46 wrote: post #55
ethbr0 wrote: post #21

Earlier quoted context omitted.

You're not supposed to do that at all. You could argue you didn't possess any material non-public information, but since essentially every internal document you access is non-public information, that's probably not an argument you want to deal with. Just trade your own company's shares in the windows after earnings releases. Or set up a pre-defined share sale plan in one of these windows, covering the future, and don…

> Or set up a pre-defined share sale plan in one of these windows, covering the future, and don't touch it. The insider trading training I did at one company specifically mentioned this is against SEC rules and is insider trading. I am unsure if that is actually true, but that is what the company expected us to operate as.

i follow the market pretty closely and executives and board members often have pre-defined sales plans that will sell shares right before earnings.

not sure if it’s open to employees. personally don’t think it’s fair but it seems to be legal as is.

Re: Twilio employees, associates charged with insider trading by SEC

#74

Post by verdverm »

daenz wrote: post #57
kieselguhr_kid wrote: post #48

I work in billing software for a publicly traded software company and this is a constant temptation. I'm never gonna do it because I'm not gonna blow up my career for a relative pittance, but I can't tell you how many times I've been annoyed that I couldn't act on private information and make ~$100k or so. These guys are like the kids who saw the Tide Pod challenges and decided to actually eat the pods. I bet insider…

>I bet insider trading is not as fun when you're unemployed and bankrupt. Not just unemployed, likely unemployable by any reputable company in the industry. Also, good on you for having integrity, but honestly what you say is too much for the average person to be tempted with. Does anyone have a solution for lowering that temptation and making these scenarios less likely?

You can obfuscate CII (Company Identifying Information) as much as possible. Limit the reveal to those that need to know. Auditing, and making employees aware you can see what they do with data might reduce the temptation because the risk of being discovered is (perceived to be) greater.

Re: Twilio employees, associates charged with insider trading by SEC

#75

Post by [deleted] »

syshum wrote: post #24
derekp7 wrote: post #10

Earlier quoted context omitted.

Something I was always curious about, but I lack the legal background to find the answer. What if public information showed that you should sell the stock, but you decide to hold it instead (i.e., not do anything at all) because you have insider information that the company will be doing much better than expected? The "not selling" part (assuming you bought stock prior to having insider knowledge) is a form of inside…

not a lawyer, but inaction should never be criminalized.

[deleted]

Re: Twilio employees, associates charged with insider trading by SEC

#76

Post by sq_ »

spamizbad wrote: post #59
tempsy wrote: post #19

Earlier quoted context omitted.

isn’t this what they use Palantir for?

Palantir doesn’t have a product that actually does this, contrary to whatever sales presentation you might’ve heard. (I know someone whose gov org almost found this out the hard way after nearly flushing millions of taxpayer dollars down the toilet)

I've barely touched anything Palantir, but the one gov project I worked on tangentially that used their products did seem suspiciously like a simple database that the gov employees/contractors were doing all the work to make useful.

I'm not sure if that's what they were sold, but if they were sold on a full solution, that's definitely not what they got...

Re: Twilio employees, associates charged with insider trading by SEC

#77

Post by sonicggg »

According to the article, they 'concluded in a joint chat that Twilio’s stock price would “rise for sure.”'

I bet there are a lot of folks doing this out there, but they are more careful. So they had a non-encrypted chat room about it. It'd be funny if they found this in the company 's Slack workspace.

On top of that, they involved a bunch of other family members. That's too much.

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