Six charged in Silicon Valley insider trading ring
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Re: Six charged in Silicon Valley insider trading ring
#2I'm not sure if this is standard for SEC press releases, but why do they include details such as, "he was a school teacher" and, "he owed gambling debts"?
I've always suspected the SEC investigations regarding things like insider trading are typically the opposite of justice and designed to go after the smallest possible players while giving the illusion of enforcement. And these details in an allegedly serious investigation just seem to make the whole thing reek of small time gossip material.
It's just kind of surreal seeing this type of language in an official SEC press release regarding what I'm sure they would like us to believe they consider a serious crime.
Re: Six charged in Silicon Valley insider trading ring
#3Today’s Matt Levine post on this is a must read
https://www.bloomberg.com/opinion/articles/2021-06-16/don-t-...
Re: Six charged in Silicon Valley insider trading ring
#4> Bannon agreed to pay a civil penalty of $281,497, Rauch agreed to pay a civil penalty of $128,230, and Ramaiya agreed to pay a civil penalty of $65,780. Sood also consented to the entry of a final judgment and agreed to pay a civil penalty of $178,320.
So the SEC claims they found $1.7M in insider trading, and they only collect $700K. This assumes the ring didn't do more.
No wonder bigger players do this in size. What a joke.
Re: Six charged in Silicon Valley insider trading ring
#5White collar crimes are barely punished - what a joke.
Insider trading isn’t larceny, but for the sake of conversation let’s say it was - 1 million in insider trading would be like 4000 counts of grand larceny, each of which carry a max fine of 25K each.
If people were actually fined 100 million for 1 million of insider trading I bet you it’d stop happening.
For comparison $250 or more stolen is grand larceny and has a max fine of 25K and/or 5 years in state prison.
Re: Six charged in Silicon Valley insider trading ring
#6> Bannon agreed to pay a civil penalty of $281,497, Rauch agreed to pay a civil penalty of $128,230, and Ramaiya agreed to pay a civil penalty of $65,780. Sood also consented to the entry of a final judgment and agreed to pay a civil penalty of $178,320. So the SEC claims they found $1.7M in insider trading, and they only collect $700K. This assumes the ring didn't do more. No wonder bigger players do this in size. W…
Not quite:
Wylam has consented to a permanent injunction with civil penalties, if any, to be decided later by the court. The SEC’s litigation against Brown is continuing.
In parallel proceedings, the U.S. Attorney’s Office for the Northern District of California today announced related criminal charges against Brown, Wylam, and Sood.
Re: Six charged in Silicon Valley insider trading ring
#7glad the sec spends all its time on 6 randos rather than meme stocks, scam chinese education companies, nft/crypto, scam spacs, tesla, etc…
definitely have their priorities right
Re: Six charged in Silicon Valley insider trading ring
#8Where's Pelosi?
Re: Six charged in Silicon Valley insider trading ring
#9This is how the SEC spends its resources? This is considered newsworthy? $2M is considered material in 2021?
If they'd been in charge of the WW2 military, instead of Omaha Beach, we'd have a press release about one random dead Nazi.
Re: Six charged in Silicon Valley insider trading ring
#10> Bannon agreed to pay a civil penalty of $281,497, Rauch agreed to pay a civil penalty of $128,230, and Ramaiya agreed to pay a civil penalty of $65,780. Sood also consented to the entry of a final judgment and agreed to pay a civil penalty of $178,320. So the SEC claims they found $1.7M in insider trading, and they only collect $700K. This assumes the ring didn't do more. No wonder bigger players do this in size. W…
IANAL, but I assume these penalties be on top of the seizure of the illicit gains. If not, I completely agree with your sentiment.