Posted on 12/17/2022 2:06:50 AM PST by blueplum
A federal grand jury indicted seven Twitter users and a podcaster Wednesday on behalf of the Securities and Exchange Commission, charging the eight men with conspiracy to commit securities fraud.
The eight influencers are alleged to have used their presence on social media platforms Discord and Twitter to run a “pump and dump” scheme from at least January 2020 to April 2022. So-called meme stocks mentioned by their accounts included GameStop and AMC...
(Excerpt) Read more at washingtontimes.com ...
There's a 3-part series on Netflix called 'Eat The Rich, The Gamestop Saga'. Screen names Roaring Kitty' (id'd as Keith Gill) and "DeepF...ingValue' are mentioned prominently in the Netflix series but I don't see them on the list of the indicted
Punishment for interfering with a predatory hedge fund and costing them billions. The deep state in action.
Google and Facebook and Twitter have committed massive stock fraud. Claiming users that did not exist so the stock value would increase.
That’s exactly what it is. The influencers in question found a way to punish the predatory hedge funds and the hedge funds are now striking back.
About the “gamestop”……
I might be wrong, but I don’t think the guys participating in the “gamestop” did anything illegal on their end. Here is how I understand it worked.
Some hedge fund managers make billions of dollars by gaming the system with short sells. When you sell short you borrow stocks from a broker for a fee. You have to return those stocks within a month. You take those stocks that you BORROWED AND SELL THEM ON THE MARKET.
Let’s say they sell for $100 per share. You are BETTING THAT IN THAT MONTH they will drop to $50 per share. YOU BUY THEM BACK AT $50 per share and keep the $50 profit, RETURN THE STOCKS TO THE BROKER MINUS A FEE... You made $40 (just an estimate) per share.
The problem for the highly leveraged short sellers is that they MUST RETURN THE STOCK SO THEY HAVE TO BUY THE STOCK BACK AT THE END OF THE MONTH SO IF THE STOCK GOES UP... the hedge fund guys loose.
The problem is the brokerage house only pretends to have the stock in inventory to “loan” the short seller. It is fraud all the way around.
But this time, some very smart trolls in mom‘s basement gamed the system by buying and holding their stock and not selling and causing the stock to keep going up and up….. just small buyers, but a LOT of them…… and hedge fund managers lost billions and hopefully are learning a deserved lesson about their illegal manipulations of the market.
This is crazy =>
“If convicted, the defendants face a maximum penalty of 25 years in prison on the conspiracy charge, as well as for each security fraud charge.”
A good summation. My grandson is one of those AMC stockholders. He’s loving this.
Don’t mess with their money.
Throw the book at these perps!!!
Not sure “Pump and Dump” is a crime unless money is taken on promises not kept.
As for “ conspiracy to commit securities fraud”, this is unclear. If someone “thinks it”, is that a crime?
In the past, I have seen thousands of pumpers and dumpers related to stock trading. Like a used car salesman, they should be ignored.
But arrested? What am I missing?
“Not sure “Pump and Dump” is a crime unless money is taken on promises not kept.”
exactly ... without direct participation financially, those “influencers” are simply exercising their rights to free speech ... no different than buy/sell/hold opinions issued ad nauseam by “analysts” ...
It’s apparently okay for investment houses to use HFT and supercomputers to put in bids, then remove to check pricing, and buy/sell tons in fractions of a second, but these guys are criminals…
It’s almost as if this current news character Sam Bank-Fiend, whatever, has caught some govt desk-jockey SEC lawyers with their pants down.
So by golly, time to go round up some pumper-dumpers and anyone ‘thinking’ to do something squirrely. SEC gotta look like they’re doing stuff.
Meanwhile, Wall Street is a rigged casino.
It’s insane.
“Novice Investors”
Nice try. These were greedy gamblers who were happy to be marks for these cons.
Umm some morons took a reddit sub meme and scammed Twitter followers 🙄 🤣
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