Re: martha gets 5 months
Martha's pretty far removed from the action on this one: sombody's brother's cousin's girlfriend is an exec at company X and passes information along that there will probably be bad news breaking in a few days. Martha's broker catches the tip, calls Martha and informs her both of the tip *and* the fact that it's based on inside info, and Martha cashes out just ahead of the nosedive. That's a very attenuated connection at best.
Insider trading? Sure, I suppose it technically is but pre-Enron this thing would've gotten laughed right out of the office with no charges ever brought. Fact is I doubt that any of us here would've held the stock and went down with the ship. If there's a bad guy here it's the broker, not the client.
Martha's pretty far removed from the action on this one: sombody's brother's cousin's girlfriend is an exec at company X and passes information along that there will probably be bad news breaking in a few days. Martha's broker catches the tip, calls Martha and informs her both of the tip *and* the fact that it's based on inside info, and Martha cashes out just ahead of the nosedive. That's a very attenuated connection at best.
Insider trading? Sure, I suppose it technically is but pre-Enron this thing would've gotten laughed right out of the office with no charges ever brought. Fact is I doubt that any of us here would've held the stock and went down with the ship. If there's a bad guy here it's the broker, not the client.
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