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Robinhood Financial fined $65 million by SEC for misleading users
CBS News (From the Communist Broadcasting System) ^ | December 17, 2020 | Khristopher J. Brooks

Posted on 01/30/2021 9:19:10 AM PST by Navy Patriot

click here to read article


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To: mjp

Thanks, MJP, worthwhile article, as noted some of the 9 investors MAY have sold SOME of their GME but that is unknown at this time.


61 posted on 01/30/2021 11:24:06 AM PST by Navy Patriot (Celebrate Decivilization)
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To: BipolarBob

I am a little surprised that most Freepers do not understand how the financial markets work in the real world in 2021.

This article explains it:

https://www.zerohedge.com/markets/its-not-just-robinhood-reddit-rebellion-has-clogged-entire-financial-systems-plumbing

Bottom line—_everything_ is on credit all the way up and down the chain. You don’t own _anything_ unless you possess it in your hands.

You do _not_ own stock unless you hold the certificate in your hand—otherwise you have purchased a promise from someone (your broker) to deliver a stock. It is a promise that _can_ be broken, and then you are just a creditor fighting it out in bankruptcy court.


62 posted on 01/30/2021 11:27:49 AM PST by cgbg (A kleptocracy--if they can keep it.)
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To: cgbg

That is the truth . . that we can’t handle. The House of Cards has been exposed.


63 posted on 01/30/2021 11:32:28 AM PST by BipolarBob (USA - Born July 4, 1776. Died Jan. 20, 2021 in the Year of our Covid - a new error.)
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To: Presbyterian Reporter

“Robinhood provided misleading information to customers about the true costs of choosing to trade with the firm,” SEC Enforcement Division director Stephanie Avakian said in a statement.

And how is free trading different from the ‘free’ communications on facebook?
Android the ‘free’ OS?
Free search engines?
Free maps...

I know that Google sells phones and they make a huge amount of money, but I have never purchased anything from them?
And I’ve never seen an advert for anything sold by Google?
What is the ‘true’ costs for the Google phones?


64 posted on 01/30/2021 12:03:52 PM PST by DUMBGRUNT ("The enemy has overrun us. We are blowing up everything. Vive la France!"Dien Bien Phu last message.)
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To: coloradan

WallStreetBets apparently has several million subscribers, each with an average account value of $5000. That’s several times $5 billion in account value.


I don’t think so. Wallstreetbets subscribers are not all out there buying GME. And by the way, this thing will crash too. I don’t mind people slapping short sellers around. But this is more than that. There is someone with billions able to hold this price up like this. Some of those short sellers are going after chinese stocks as well. This is a good way to kill those guys. People should be selling calls on this stock. A good way to bet short without too much of a down side.


65 posted on 01/30/2021 12:08:55 PM PST by poinq
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To: LesbianThespianGymnasticMidget

If they really sold 140% over the float, the short sellers were doing something illegal.


66 posted on 01/30/2021 12:10:43 PM PST by poinq
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To: Presbyterian Reporter

And often when using Google ‘free’ products I notice the smell of burning sulfur?
At first, I thought it was the power supply on the desktop?

Now certain the PS is OK?


67 posted on 01/30/2021 12:11:22 PM PST by DUMBGRUNT ("The enemy has overrun us. We are blowing up everything. Vive la France!"Dien Bien Phu last message.)
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To: Navy Patriot

Your point being that Robinhood has always been a bunch of dirtbags?

Are you Captain Obvious? Lol.


68 posted on 01/30/2021 12:43:21 PM PST by Vermont Lt (We have entered "Insanity Week." Act accordingly.)
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To: poinq

Your take is much different that everyone other one I have seen. What are you basing it on. My understanding is that it does not take as much money to wreak havoc on a short sale as it does to cover a short sale. I’m not expert in this. Happy to have your reply.


69 posted on 01/30/2021 12:44:11 PM PST by gunsequalfreedom
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To: Jan_Sobieski
Honest question: Are you saying that 1000s of millennials in their basements spending their $600 Stimulus checks on GameStop couldn’t have this impact? It would take Billion dollar hidden investors as well?

I don't think his assessment is correct but I asked the same question. It is just contrary to every thing else I have viewed on this from a very varied list of outlets.

70 posted on 01/30/2021 12:45:56 PM PST by gunsequalfreedom
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To: RBW in PA
The brokerage houses who prevented buying gamestock shares all need to be tried and jailed. Clearly market manipulation intended to protect wall street while harming retail investors.

It won't happen. Biden cabinet members have deep ties to those brokerage houses. Nothing will come of it.

71 posted on 01/30/2021 12:47:10 PM PST by gunsequalfreedom
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To: poinq
This whole story is wrong. Redit and Robinhood don’t have enough money behind them to cause this situation. There is a much bigger player in the market. Someone like China, could be attacking our market and our short sellers by coordinating an attack on a few stocks. You need Billions of dollars to cause this situation. If ten thousand little guys throw a thousand dollars at this, they don’t make a dent. Trust me, there has to be a large player here. And the feds can figure out who that player is.

Did you read the substance of the article? This has nothing to do with the GameStop/Citadel/others short selling squeeze. This is from issues with RobinHood from a year-plus ago.
72 posted on 01/30/2021 1:28:52 PM PST by Svartalfiar
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To: LesbianThespianGymnasticMidget

“These hedgefund ass#0les sold short 140% of the outstanding stock of gamestonk.”

Wouldn’t that put the Robber Barons in some kind of inverse, imaginary space beyond the corner of the market?


73 posted on 01/30/2021 1:42:25 PM PST by Paladin2
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To: Navy Patriot

Anyone still using these crooks or others like them should RUN and take your $ with you while you can!


74 posted on 01/30/2021 1:57:26 PM PST by NWFree
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To: mjp

Nine Investors Instantly Make $16 Billion On GameStop Stock ‘Squeeze’

They only come out ahead if they cash it out while it is up.


75 posted on 01/30/2021 2:07:47 PM PST by Steven Scharf
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To: poinq

Nope... entirely legal like gay marriage. Right is another question.


76 posted on 01/30/2021 2:20:03 PM PST by LesbianThespianGymnasticMidget
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To: Navy Patriot

They were fined in 2020. Didn’t seem to phase the thieves at all.


77 posted on 01/30/2021 2:41:41 PM PST by napscoordinator (Trump/Hunter, jr for President/Vice President 2016 )
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To: Navy Patriot

I’m sure that’s lessons learned number 1. That will be first bill out of Congress.


78 posted on 01/30/2021 2:43:44 PM PST by napscoordinator (Trump/Hunter, jr for President/Vice President 2016 )
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To: poinq

Stuff it troll-boi.
The issue with GameStop is that the number of shares shorted was 140% of the shares available to buy or sell.
Naked shorting is illegal; and it is a slam-dunk for a short squeeze.

The other issue, is that the stock was selling for, what, around $5/share, six months ago, to the low teens in mid-December.

Anyone attempting to short, with a price per share at $14/share, is looking at a 2500% loss of their original money.

Now multiply that by the number of shares outstanding...


79 posted on 01/30/2021 2:43:54 PM PST by grey_whiskers (The opinions are solely those of the author and are subject to change with out notice.)
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To: cgbg

exactly!


80 posted on 01/30/2021 3:14:01 PM PST by GOP Poet (Super cool you can change your tag line EVERYTIME you post!! :D. (Small things make me happy))
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