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Strategies & Market Trends : AP's Crime -- Ignore unavailable to you. Want to Upgrade?

To: Bear Down who wrote (14)	1/27/2005 12:08:57 PM
From: rrufff	Respond to of 78

I don't think you can generalize like that. There have been cases of touts getting badly punished. Again, all cases are different and that's why I prefer judges having discretion as opposed to mandatory sentencing. Look at Martha Stewart and Wascal (spelling?) - relatively minor and I don't feel too badly for her or for him. But, given the sentences they got for a 1 time scam, I don't think this case will be outside the range of "fairness." Personally, I think that whatever discourages scams, both from touts and their associates, and from short manipulators and their associates, as well as other manipulators, is good. I'm simplifying here but I'd bar all manipulators for life from anything in the securities industry, including trading. Beyond that, disgorgement and some type of restitution. I don't like to see people in jail but given how lazy and inefficient government is, it's easier to do that than think about some type of more productive measure.

To: Bear Down who wrote (14)	1/27/2005 1:00:32 PM
From: peter michaelson	Read Replies (1) \| Respond to of 78

Bear, as Dale points out, the difference here is that Tony messed inside the FBI's house. Thus the vehemence of prosecution. Is that justice? Perhaps not, but it makes the difference in punishment more understandable to me.

To: Bear Down who wrote (14)	1/27/2005 5:38:47 PM
From: Pluvia	Respond to of 78

agree... look at frick'n shan padda of sabratek.... he single handedly krushed his company with fraudulent accounting, pr blahdee blah... worse than ap's deal? the same? his punishment. consent decree. no admission, no deny, just agrees not to violate blahde blah rules again. i think a 500ish k fine. not bad for killing about a billion of market cap (ok i don't remember the exact mk cap, i made the amount up <g>) last i saw shan was on the board of some polo club. not quite club fed.

To: Bear Down who wrote (14)	1/27/2005 9:46:48 PM
From: nycnpbbkr	Read Replies (1) \| Respond to of 78

I beg to differ, I don't believe the last 7 years Peter Tosto spent in jail was "a slap on the wrist" or "very minor time". On May 18, 1986 Ivan Boesky gave the commencement address at Milkin's alma mater, the University of California at Berkeley's business school. "I think greed is healthy," he told his enthusiastic audience. "You can be greedy and still feel good about yourself." Sentenced to prison, barred from dealing in securities, and ordered to pay $100 million in penalties, Boesky cooperated with the SEC in an insider-trading probe that rocked Wall Street. A few months later Boesky was indicted on the charges that would land him in Southern California's Lompoc Federal Prison, also known as Club Fed West. Boesky served 22 months in Lompoc, California. September 1988 the SEC filed a 184-page complaint against Drexel. Manhattan's U.S. District Attorney Rudy Guliani hit Drexel and Milkin with racketeering charges under the 1970 RICO (Racketeer Influenced and Corrupt Organizations) statute. On December 21, Drexel pled guilty to six felony counts of mail, wire and securities fraud, paid a $650 million settlement fee, and fired Michael Milkin. The cases against Drexel and its young junk bond king revolved around charges that secret arrangements were made with Boesky and others to defraud Drexel's clients. Two months later, in Wall Street's biggest criminal prosecution ever, 98 indictments of fraud and racketeering were brought against Milkin. Michael Milkin served 24 months in Pleasanton, California.