Isn't that the definition of insider trading? Lock him up like Martha, she did way less and served time in a prison resort.
this post was submitted on 05 Jun 2024
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I need to look up how "insider trading" even works.
When you are the CEO, and you make decisions, and you own your own stock - wouldn't everything you ever do be with insider info? It is just honor system pinky-promise to act in good faith? I mean that sounds super effective.
At my workplace we are only allowed to sell stocks within certain windows, usually it's a brief period immediately after we publicly release earnings. I think for higher ups it's even more restrictive.
We had a 2 week window 2 or 3 days after earnings were released.
Edit: You could preschedule sales though like recurring once a month, but it wouldn't take effect immediately. I can't remember what the delay on that was, but it might have been starting after the next earnings?
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Felon Musk
"Felonious Musk" might be a good nickname.
That's only the 5th time he commits fraud. He has been at court several times because of his actions. It seems no one really wants to arrest him
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Yes but you see, he is a billionaire... Insider trading and other laws are for the pauper rich
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Can we revoke his government contracts now?
Can we deport him now?
Dude, you can’t talk about deporting people back to Africa. Not cool.
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No, that’s counterproductive because the government uses those services. Instead, the government could confiscate his stock in those companies.
SpaceX would probably be more profitable if they didn't have to spend so much time and resources on preventing Musk from interfering with things.
It’s mostly Tesla and Twitter that he’s wrecking, but yeah Shotwell does sometimes rescue SpaceX from terrible ideas he has, like canceling Falcon Heavy.
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How could a CEO of any company trade his own stock from the company and not be insider trading?
The fact they are allowed to control stock is laughable... At best, stock from the company you control should be in a blind trust (which would still be laughable but we can at least pretend)
The SEC has already proved itself absolutely toothless. Even if it was illegal, who would prosecute?
They have to give advanced notice before selling, they can't just sell stock on the whim.
It was clearly more profitable to break the law than to follow it.
So?... I am the CEO... I know our new line of highly anticipated space tentacle dildos are not going to be in stores by Christmas as expected, I give notice and sell stock before the public finds out and stock goes down
I also know, because of the delay, we are squeezing the Chinese manufacturer, so I will give notice and buy the stock in January knowing we are probably going to offer deep discounts to get those consumers back
How is giving advance notice any safety? unless the rules say they need to give 500 days of notice or something long enough there is no possible way to predict properly with ALL the information and power a CEO would have to manipulate the stock
I don’t want to defend CEOs here, but there is a code for in the USA, Rule 10b5-1, which sets out a CEOs stock trading plan.
The reason, if you’re not Elon Musk, is that most CEOs are paid in stock and so it’s inevitable they’re going to sell some. So they set out a plan to say I will sell X shares on X date and the market shouldn’t be spooked.
What Elon did here is sell 45 million shares, seemingly outside of any plan, which is insane. Usually they wouldn’t be offloading such a volume.
Selling a small amount of your stock doesn’t indicate you don’t have faith in your own company, but more that you want to convert some of your reward (pay) into actual cash.
I’m not saying the system is good, just that this is how it works.
I’m not saying the system is good, just that this is how it works.
Totally get it... which is why my comment was intended to mean "what the fuck kind of system is this"... not "Elon bad"... although, yes, Elon bad ;-)
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Martha Stewart this motherfucker.
So.. i vaguelly knew about her so did some searching
she served five months in federal prison for fraud and was released in March 2005. There was speculation that the incident would effectively end her media empire,[2] but in 2005 Stewart began a comeback campaign[3] and her company returned to profitability in 2006.[4] Stewart rejoined the board of directors of Martha Stewart Living Omnimedia in 2011[5] and became chairwoman of her namesake company again in 2012
Its pretty mild isn't it?
except they wont even do that to musk. Nobody wants to try a billionaire in court, musk is known to send armies of private detectives on people. He'll close a factory in your district out of spite. Billionaires are afraid of taxes because as long as they have way too much money they can continue to do the illegal shit that made them rich.
That title is a very long way of saying that he's been accused of inside trade
Forgot the final bullet points
- US Government does jack shit in terms of legal ramifications for breaking law.
- Musk pledges to break US law once again.
That's called Insider Trading, and is supposed to be illegal.
America
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What a joyous year if we could get Trump and Elon in jail this year.. They could be roomies!
Neither of them are going to prison. Trump's judge explicitly said as much during his 10th contempt citation, and Musk has been pissing on the leg of the SEC for the last five years straight with no consequences.
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Used to be you pull this shit (insider trading) and be locked away for life. Times they 'r a changing, indeed.
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Insider trading seems to have been perfectly legal for the last few decades. Nothing will come of this or it would start setting precedent that we could use against our government leaders and other billionaires and federal judges. Not gonna happen.
When are Tesla shareholders going to wake up and understand that he's scamming them. You're all dupes and he's going to ride you to the last second and let you all burn.
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Punish him daddy
.... WHAT'S New in Capitalism......
🫠
Couldn't you have posted a non-paywalled article so we don't have to discuss a headline?
CEOs have to announce they will sell in advance. But, I can't see if he did this because of what you posted.
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