SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Ask Jeeves,Inc-(Nasdaq-ASKJ)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Mohan Marette who started this subject4/14/2003 12:38:45 PM
From: StockDung  Read Replies (2) of 838
 
SEC Warns Morgan Stanley It May Face Charges
Monday, April 14, 2003 02:54 AM ET Printer-friendly version

Morgan Stanley (MWD, news) has been formally notified by the Securities and Exchange Commission that it may face civil charges of awarding hot initial public offerings to investing clients who signaled plans to buy additional shares at higher prices, Monday's Wall Street Journal reported.

Although the SEC previously had informed Morgan Stanley that it planned to issue a so-called Wells notice warning that it might bring securities-fraud and market-manipulation charges against the firm, Morgan Stanley disclosed Friday in a regulatory filing that it now has received the warning.

The SEC is examining whether tying the IPO allocations to subsequent after- market orders, a practice known as "laddering," artificially stimulated additional demand for newly issued shares during the stock-market bubble. If so, that could have contributed to the huge first-day price gains that eventually worsened losses suffered by small investors when the stocks later declined, traders say.

Wall Street Journal Staff Reporters Randall Smith and Susanne Craig contributed to this article.

Dow Jones Newswires
04-14-03 0254ET





Copyright 2003 Dow Jones & Company, Inc. All Rights Reserved.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News