[Always Right]

What I don't understand is the Broker provides insider information to its client and it is the client who is charged with a crime. The Broker is the guilty party. The Broker is the one with a license and is the one who instigated the crime.

[Pan_Yans Wife]

It gets even more interesting when you remember that the client is a former stockbroker, herself.

[eureka!]

Tippers and Tippees can be liable, as I understand it...

[Sacajaweau]

Martha was a broker and she has PERSONAL friendships in the business. She would have filed a complaint (against her friend?) who just saved her a few bucks. No, she took full advantage of the opportunity.

The next house she decorates will be BIG with lotsa little rooms.

[lelio]

The Broker is the guilty party.

Is there a criminal case pending against Peter Bacanovic? If not, why not?

[isthisnickcool]

What I don't understand is the Broker provides insider information.......

Martha Stewart has not been charged with "insider trading". I think the biggest charges are "lying to investigators" and " and "misleading investors in her own company about why she sold 3,928 shares of ImClone Systems (IMCL) stock in 2001".

My bet? She is found innocent.

I know people that have been involved in stock "pump-and-dump" schemes that fleeced people out of 10's of million of dollars. None have ever been touched by the SEC or anyone else. What Martha Stewart did (whatever that is) ain't spit compared to a lot of stuff that went on during the "dot.com" boom. And still goes on today. Stewart is small potatoes (with a lovely garnish to make the serving more attractive).

[Protagoras]

What I don't understand is the Broker provides insider information to its client and it is the client who is charged with a crime.

Deep pockets and career advancement for the prosecutor.

Follow the money, always follow the money.

[GovernmentShrinker]

They're both guilty. Faneuil copped a plea in exchange for his cooperation. I'm not sure what the deal is with Bacanovic.

[aruanan]

What I don't understand is the Broker provides insider information to its client and it is the client who is charged with a crime. The Broker is the guilty party. The Broker is the one with a license and is the one who instigated the crime.

That's because the prosecutors care less about any crime having been committed and more about bagging a big name. Going after MS rather than the broker gives them the big name. The same is true for the Palm Beach goombas going after Rush instead of the blackmailing drug dealer except here the big name has also been a giant political PITA for them and they've now got the opportunity to harm him like they think he's harmed Bill, Hillary, Janet Reno, et al. Of course, Rush isn't a testicle harvesting, cigar-inserting, Macadamia nut munching, finger wagging, Rose Law Firm records stealing, Vince Foster murder cover upping, child-incinerating, Elian-betraying Democrat.