CNBC Network Pulls Wamex Holding's TV Ads After Federal Charges
Washington, June 15 (Bloomberg) -- General Electric Co.'s
CNBC pulled Wamex Holding Inc.'s television ads touting its
alternative stock market after federal prosecutors named two top
company executives in a wide-ranging crackdown on alleged abuses
in Internet stock trading.
The television ads began running yesterday, the same day that
the U.S. attorney's office in New York announced indictments
against the two company officials and 118 others, including 10
organized-crime figures. The Securities and Exchange Commission
also halted trading in the company's stock for two weeks.
CNBC spokesman David Bittler said today that Wamex's ads were
pulled ``indefinitely.'' He wouldn't say how much Wamex paid for
its media buy.
The ads, which Wamex planned to run until July 30 on the
business cable channel, touted Wamex's Alternative Trading System.
Wamex's Internet-based investment market was scheduled to open on
July 4.
Wayne Carlin, an attorney with the SEC, said the decision by
CNBC was ``fortuitous, but entirely coincidental'' to the federal
government's actions. Carlin declined to say whether the ads that
ran yesterday contained any misrepresentations.
¸ Copyright 2000, Bloomberg L.P. All Rights Reserved. |
