SEC Probes Possible Insider Trading Linked To S&P's U.S. Downgrade

[kpete]

Source: RTT NEWS

(RTTNews) - The Securities and Exchange Commission is exploring any potential insider trading linked to Standard & Poor's downgrade of U.S. debt, the Financial Times newspaper reported Friday, citing people familiar with the matter.

The regulator has reportedly asked S&P to disclose who among the rating agency's staff knew its decision to downgrade U.S. debt before it was announced last week. The newspaper reported that the probe is being carried out by the SEC's examination staff, who can refer it to the watchdog's enforcement division if it believes any laws have been violated.

The agency is not aware of a leak from an S&P insider, nor was it aware of an aberrational trade, FT said. The regulatory move comes after the Senate Banking Committee said it is looking at the S&P downgrade.

However, the inquiry might not result in a referral, FT said. The report also said that proving someone leaked information on the downgrade or traded ahead

Read more: http://www.rttnews.com/Content/USEconomicNews.aspx?Node=B2&Id=1691017

[luckyleftyme2]

1. and the conclusion

and even if the fox watching the chicken coop comes up with proof(very doubtful) what will the effect have on the market? how would those that lost their retirement recover it!(chances are 0-Nil)
seems like an effort to quill the rumors surrounding the shenanigan's going on to suppress the working class!

[moondust]

2. "Potential" insider trading?

:rofl:

[valerief]

6. Bwahahaha!

:rofl: :rofl:

[sofa king]

3. Called it!

Did anyone else notice the sell-off preceded S&P's announcement by 2 days?

jeff47 offers a cogent response to my observation, but now it appears as if I am not the only one who detected movement before the announcement.

This is very far outside of my area of expertise, as some of you will no doubt explain to me in detail (which I welcome, because that's how I learn).

But I do consider myself to be very well acquainted with Republican crime, and basing my conclusions only on that simple premise has yielded a prediction that matched up fairly well with reality.

Never bet against the criminal ways of the Republicans and their masters, is all I'm saying.

[Jim_Shorts]

24. The same thing crossed my mind

When they busted Martha Stewart for talking to her friend who owned a business and got inside information and made a trade on that information, it was a joke because it happens every single day and is never prosecuted. When you look at the largest corporations you will see the top people sit on each others boards and inside company info is exchanged, like is company X going to report good earnings this quarter or have they perfected the new product.

For most of us the stock markets are a gamble but for people who know people its a pretty sure thing, the game is rigged.

Another scam is what W. Bush did when he sat on the board at Harken Energy. They cooked the books for a few years and ran the stock price up, shrub sold his stock right before they readjusted their books and reported millions in losses.

[Turbineguy]

4. Will this end up

in the same place the shorting of airline stocks did just before Sept 11, 2001?

[SnakeEyes]

15. Wow, still some truther's left.

Seriously? LOL

[DeSwiss]

34. Yeah, plenty. n/t

[rfranklin]

35. Swallowed the whole cover story, did you?

Seriously? LOL

[Remember Me]

40. +1

I don't understand people who cling to the official story without bothering to look just a little deeper into what everyone else is talkin' about. And keeps talkin' about.

[Myrina]

5. oh gee, ya think?

:spank:

[marions ghost]

7. the examination staff will refer it to the enforcement division

:eyes:

[valerief]

9. If any improprieties are found, the Strongly-Worded Letter Division will be right on it! nt

[No Elephants]

21. In fairness, they did nail Martha Stewart.

[marions ghost]

22. Martha was a convenient scapegoat

to hide the infinitely more serious level of corruption. Every once in a while they throw out some low-hanging fruit to make it appear they are doing a good job.

[valerief]

26. Bingo! nt

[marions ghost]

30. yeah

teaching Martha a lesson = :spank:

[russspeakeasy]

8. No shit ?

:sarcasm:

[AllyCat]

10. And then the WH will call them off the trail because we don't want to hurt the rich

[joanbarnes]

11. As usual.

[Richardo]

12. Gee really?

Imagine that.

[divvy]

13. Lets investigate the cash positions of teabaggers and rabid GOP'ers too

I suspect they crashed it on purpose for capital gain.

[SnakeEyes]

14. Downgrade was anticipated

Proving someone leaked is going to be very hard to do.

My question is, who was it leaked to? Who could have made such a major move?

[INdemo]

16. There is insider trading every day in the commdoities market that

we pay for a the gas pump..

[paparush]

17. Always ask: Who stands to benefit from this? nt

[dmosh42]

18. Another "Duh" moment! n/t

[defendandprotect]

19. Interesting...we paid an additional 1/2% on the $120 BILLION tax cuts for rich we had to borrow

to cover -- Thanks, Obama !! and please step down --

and total was $1.8 Trillion if I recall that correctly!!



How many more drones over Pakistan will we have to pay for before Obama leaves office?

How many more years of wars -- and dead/wounded soldiers --

How many more attacks on unions -- teachers -- public education?

It really is time for change!

[SoapBox]

20. Investigate, investigate, investigate...

I've been saying this since last week.

This dirt bag company brought down the world...We need to see faces, know names and exactly who signed off on allowing the downgrade.

Need we mention the mortgage disaster and Enron?

...shut them down.

[KeyserSoze87]

23. Good I say!

Investigate this corrupt rating agency and put all the people responsible for the financial crisis in jail!

[Taverner]

25. It's like they're not even trying to hide it anymore

[liberal N proud]

27. I wonder what their first clue was

But then what will they do about?

My guess they will tell the world there was no evidence of such offense. Pay no attention to the man behind the curtain.

[irislake]

28. No kidding

I am shocked to the core!

[mistertrickster]

29. I applaud this, BUT it would be nice if Obama's SEC could investigate corp's they aren't mad at. nt

[Lint Head]

31. S&P think they are untouchable.

[Vinca]

32. I was thinking how fishy this whole thing is.

They gave funky mortgages triple A ratings so Wall Streeters could make money so why shouldn't we believe they downgraded the U.S. rating because people betting against us would lose money if they didn't?

[DeSwiss]

33. I was wondering when (or if) this would come.

I had thought Obama was too chicken to send in the stock cops and push them up against a wall and rough them up a little, but apparently other Wall Street Masters are pissed-off at S&P as well. So this explains it, I'm sure.

- I'm glad I'm not S&P......

K&R

[dotymed]

36. WHAT BULLSHIT!

We know for sure that Eric Cantor had placed "bets" that the U.S. dollar would devalue. He was (is) in the position to insure that it happened. THAT, for one is "Insider Trading." It is also Treason.

There were (are) many, many more involved. It was (is) a conspiracy and IF "they" Would prosecute, as "they" should, It could be tried under RICO statutes.

That will Never happen. This has been in the works for many years......

[sandyj999]

37. Oh I am shocked!

:sarcasm: This is all a freaking game.

[cstanleytech]

38. I hope they also look into congressmen and the senators

as well as their immediate family to make sure none of them were betting on a downgrade.

[notadmblnd]

39. And in the end, they will find no wrong doing. No one will be charged or punished

then the next of their kind will take their turn at the trough. :shrug:

[LeftishBrit]

41. Wouldn't surprise me one bit.