Normally I wouldn't recommend TheSmokingGun.com b/c of its controversial nature, but this is just precious, as my little white-haired granny would say.
Holy smoke. Look at pages 6 and 7 of the complaint. It says that he made $750,000 on the deal! Sounds pretty clear to me, and a jury will may think so too.
I wonder if this has anything to do with his outspoken opposition to the current bailout environment. [We should get our tinfoil hats ready, and wish him lots of luck.] Of course, this all may be some kind of misunderstanding.
His anti-bailout website.
OK, so how is this relevant? Note that the stock (pages 6 and 7) lost 9.3% at the announcement of the PIPE. So, the "private equity" portion of the PIPE mitigated some of the asymmetric information effect, but it still took at hit. Wow, this finance stuff really means something.
In this case, it may mean some time in the Big House. Ouch. Can't go to jail without demonstrable "ill gotten gains." Man, what a bummer.
On closer inspection, though, it looks as though the Feds are just asking for a fine and not jail time. I'm not used to reading insider trading indictments, but that's what it looks like (page 2, at the top). Maybe that isn't where they ask for slammer time.
His anti-bailout website.
OK, so how is this relevant? Note that the stock (pages 6 and 7) lost 9.3% at the announcement of the PIPE. So, the "private equity" portion of the PIPE mitigated some of the asymmetric information effect, but it still took at hit. Wow, this finance stuff really means something.
In this case, it may mean some time in the Big House. Ouch. Can't go to jail without demonstrable "ill gotten gains." Man, what a bummer.
On closer inspection, though, it looks as though the Feds are just asking for a fine and not jail time. I'm not used to reading insider trading indictments, but that's what it looks like (page 2, at the top). Maybe that isn't where they ask for slammer time.
