-
Trading in Gillette Call Options Will Likely Trigger SEC Insider Trading Investigation
A report in the Wall Street Journal (Jan. 28) discusses heavy purchases of Gillette February call options right before the close of trading on Jan. 27, after which word began to leak out about the acquisition of Gillette by Procter & Gamble. Buying a call option, especially one set to expire in less than a
-
WorldCom Controller’s Testimony Tries to Link Ebbers to Accounting Fraud
The testimony of David Myers, former WorldCom controller, continued on Friday (Jan. 28) in the government’s effort to link Bernie Ebbers to the company’s accounting fraud. An AP story recounts the following part of the testimony: [Myers] remembers Ebbers saying that if the stock slid below the mid-teens, "My margin calls are called and everything
-
Tax Protester Convicted
Al Thompson, who refused to permit the 25 employees of his company file W-4s to withhold income tax because the tax system is illegal, was convicted on Jan. 28 in the U.S. District Court for the Eastern District of California (Sacramento) on 13 counts involving various tax violations. (Sacramento Bee article here) Thompson became nationally
-
Defense Opening in Trial of Former Tyco Execs
Discussed in the Wed. Jan.26th post is the prosecution opening in the case of Tyco executives Dennis Kozlowski and Mark Swartz. Yesterday, the defense responded and it sounds like mens rea, and whether the defendants had the appropriate intent, will be prominent in this case. This is not unusual in a white collar case. As
-
Public Corruption Case in American Samoa is Pled
A DOJ Press release reports of the "fourth defendant to plead guilty in an ongoing investigation" coming out of a corruption prosecutions in American Samoa. According to this press release, the FBI states that " the Sataua, Seumanutafa, Solaita, and Mageo prosecutions are the first public corruption cases to be prosecuted by federal officials involving
-
Fundraiser for Former Governor McGreevey Sentenced
AP reports that David D’Amiano, "[a] Democratic fund-raiser and acquaintance of ex-Gov. James E. McGreevey was sentenced to two years in prison Thursday for soliciting $40,000 in cash and political contributions in return for his help in a land deal." D’Amiano had been charged with mail fraud, extortion and bribery, but plead guilty to two
-
Scrushy & Ebbers – 1/27/05
Today in the Scrushy trial, an AP story relates how despite testifying against Scrushy, Aaron Beam told the jury that "HealthSouth CEO never told him to break the law at the start of a huge fraud, and that FBI agents were ‘pressing’ him for figures about the scam after he went to investigators." As previously
-
McKesson – The Hawkins Trial
Everyone is talking about the trials of Ebbers (Worldcom), Scrushy (HealthSouth) and Kozlowski (Tyco). The Atlanta Journal Constitution, in a website called "CEO Blotter: Corp Execs in Court" features the three trials. But overlooked is what is happening on the west coast. Yesterday the trial opened in the case of Richard Hawkins, a McKesson executive
-
Riggs Bank Pleads
As anticipated in our post of January 26th, AP just reported that Riggs Bank pleaded guilty this morning "to a criminal charge of failing to report suspicious transactions in the accounts of foreigners, including two dictators, and agreed to a $16 million proposed fine." As noted in this report, "[a]ttorneys representing the bank entered a
-
Testimony Begins in Ebbers Trial
According to the Wall Street Journal, the first two witnesses testified in the trial of Bernie Ebbers, former CEO of WorldCom Inc. These two witnesses provided background information, something that is necessary when dealing with a complicated case that has charges of "conspiracy, fraud and making false filings with the" SEC. The Wall Street Journal
-
Subscribe
Subscribed
Already have a WordPress.com account? Log in now.
MattBray.net 