Posted on 11/23/2011 5:01:26 PM PST by The_Media_never_lie
Ramifications of an insider trading crime.
There are legal experts here on FR. Please tell me the constitutional basis for a class of citizens for which these crimes are legal (Congress) and the consititutional basis for the ordinary citizens for which these crimes can be prosecuted (Martha Stewart, you, me etc.). Is there any way to roll back the law to prosecute retroactively?
If the seller was a market maker, who must buy the seller's shares or sell the buyer their shares, they may bear the brunt of the loss due to a sudden spike in share price. The money simply does not come from nowhere, for every buyer who makes a large profit based on inside information, there is a seller who in most cases lost money and was not beholden to the same insider data.
Therefore, Ms. Pelosi may have made a lot of money on the insider trade, but someone lost an equal amount.
Where in the constitution is it specified that this is legal for a certain class of citizens? I recall that Hillary did this on cattle futures, some congressman from Washington State did it during the 1990s. If Republicans committed this type of crime, they should fall equally under the law.
It seems to me we have a class of citizens who have exceptional privileges to commit profitable crimes under our laws. This reeks of royalty. Is this the way it seems to you? If I am misunderstanding this situation, please educate me.
Is this an issue?
It might be possible to lodge a claim that laws whose scope excludes members of Congress (or others) violate the equal protection clause of the 14th Amendment, and must be overturned. A ruling in favor of such a claim would have the effect, in this case, of overturning insider trading convictions, not making prosecution of members of congress possible.
But since the news media now protect politicians who vote the 'correct' way - in a way that pleases them - and hammer down any of those who don't what we have now is more closely resembling an oligarchy than representative republic.
So it’s out there now and tomorrow it’s gone and this criminal is allowed to walk. Im beside myself! Where are the investigations and the prosecutions?????????? Two Indian insider traders are going away for life and we have elected civil servants making millions on insider trading. Bernie Madoff goes to jail for ponzi scheme and we have elected civil servants doing the same and its here now gone tomorrow. Where is the peoples justice GOP??
Crony socialism. Why isn’t OWS in Nancy’s office and home?
Socialism IS Legal Plunder...
You would use the law to oppose socialism? But it is upon the law that socialism itself relies. Socialists desire to practice legal plunder, not illegal plunder. Socialists, like all other monopolists, desire to make the law their own weapon. And when once the law is on the side of socialism, how can it be used against socialism? For when plunder is abetted by the law, it does not fear your courts, your gendarmes, and your prisons. Rather, it may call upon them for help.
To prevent this, you would exclude socialism from entering into the making of laws? You would prevent socialists from entering the Legislative Palace? You shall not succeed, I predict, so long as legal plunder continues to be the main business of the legislature.
Frederic Bastiat 1801-1850
(We’re All Socialists Now)
(It’s the Socialism, stupid)...not you...thanks for posting.
This is covered in “Throw Them All Out” and republicans are guilty of it too. Congress has decided it is legal for them to do it.
Read the book. It will make you ill.
I may read it. Yes, it will make me ill.
Who cares? Only 7 replies on the subject, not many people really are concerned (one or two of them mine). It is truly graft and corruption.
My main angle on this is that I thought we had laws that covered all citizens equally. But apparently, some citizens are more equal than others.
The book really opened my eyes to what we are facing. Congress is corrupt pure and simple. I'm sure not all of them are taking advantage of their position to line their own pockets but all are complicit because they don't do anything to stop those who do.
I read the book this past weekend and it has forever changed my outlook on the scum we put our faith in and elect to serve us.
My congressman is Jimmy Duncan from TN. He is a good conservative and has served his constituents well but I don't know how he or any of the good ones can stand by and let this go on unchallenged. Maybe he isn't as good of a guy as I thought.
What really concerns me is that when something like this is reported and it’s a Democrat that is the culprit, you would think there would be a big commotion from the Republicans, but the silence is deafening! What does that tell us?
My cynical self tells me it is because there is a code in Congress that those on the take (those in power) don’t rat on one another. It’s one thing if the media reports it, but there is a code of silence that one must adhere to to be a player. Or, they are all doing it and if one outs another, they will expose the crimes and misbehaviors of that individual. Or, there is a lot of blackmail or FBI files or something. With this theory, I cannot see how all the newcomers can be instantly corrupted, but I guess maybe someone gets to them and explains the rules.
THIS MAKES ME CRAZY! This is the CORE of the PROBLEM. An ELITE POLITICOL RULING CLASS THAT IS ABUSING THE PUBLIC TRUST.
I want them all PROSECUTED! I AM ANGRY AT ALL OF THEM!
Now we know how they enter office as middle class and leave as 1%’ers.
Now we know what they are really there for!
I disagree, if the Supreme Court were to find the ORIGINAL LAW exempting Congress Critters from Insider Trading Laws to be UNCONSTITUTIONAL, then EVERY LAST ONE of them could be Prosecuted and have their Assets SEIZED. The problem is getting 9 scumbag lawyers wearing black dresses and carrying hammers to listen.
I have a problem with conceptualizing how Congress could write a law that allowed their criminal behavior to be legal. Where in the constitution does it say “Congress shall be permitted to commit crimes that ordinary citizens would go to jail for”?
Which is precisely why I vehemently disagree with th “conventional wisdom” regarding this subject. They never had any such power or right to allow themselves to commit criminal acts with immunity. Are there any State laws with regards to Securities Fraud or Insider Trading? if so A STATE could prosecute, jail the bastards indefinitely, seize all their assets as ill gotten gains of a criminal enterprise and force the issue before the Supreme Court by REFUSING to bow before ANY INFERIOR COURT. And yes A COUNTY SHERIFF duly Elected by the People has the ABSOLUTE AUTHORITY TO DO THIS WITH IMPUNITY. And no the State Attorney General or Governor CANNOT Stop a Sheriff. That my friends how it could be done, unfortunately there is not a single person anywhere that will pursue this avenue of Prosecution. with the exception of the Sheriffs Project see Sheriff Mack, I haven’t seen a single elected official ever that can actually read the CONSTITUTION for what it actually says.
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