Network News

X My Profile
View More Activity

Quick takes: Insider trading at BP, Citigroup and Maxine Waters

The story: SEC investigating insider trading at BP

"U.S. securities regulators are investigating whether people may have illegally profited from trading on nonpublic information at BP Plc in the weeks and months following the disastrous Gulf of Mexico oil spill, two sources familiar with the investigation said on Monday.

The U.S. Securities and Exchange Commission is also investigating whether BP properly disclosed information on risks related to its deepwater oil operations in the Gulf of Mexico, one of the sources said."

Who: Reuters

The takeaway: It's no surprise the SEC, and every other regulator, is taking a look at just about everything going on inside BP. The oil giant had previously disclosed a securities probe.

The story: Citigroup settlement punishes shareholders

"Who is paying that $75 million fine? The answer is Citigroup's shareholders -- the same people who were arguably defrauded by its failure to disclose its exposure to subprime mortgages in the first place. And that means you and I are liable, too. Taxpayers own 18 percent of the company."

Who: Andrew Ross Sorkin

The takeaway: No question that the Citigroup settlement, along with other settlements with Wall Street banks this year, raises questions about the effectiveness of penalizing companies. But Sorkin doesn't discuss how the effect of the sanctions are often much bigger than the price tag.

The story: Waters probably broke ethics rules

"An ethics report released Monday found that Rep. Maxine Waters probably broke conflict-of-interest rules in urging federal aid for a bank where her husband had served on the board and owned hundreds of thousands of dollars in stock.

... The case revolves around Waters's role in arranging meetings between Treasury Department officials and executives of minority-owned OneUnited Bank and whether her intent was to broadly benefit minority-owned financial firms represented by the National Bankers Association (NBA) or simply to aid Boston-based OneUnited."

Who: Ben Pershing and Paul Kane, The Washington Post

The takeaway: Whether she's guilty or innocent, it's another illustration of the risks of politicization when the government gets involved in investing in the private sector.

By Zach Goldfarb  |  August 3, 2010; 10:17 AM ET
Categories:  SEC  
Save & Share:  Send E-mail   Facebook   Twitter   Digg   Yahoo Buzz   StumbleUpon   Technorati   Google Buzz   Previous: In devising punishments, SEC faced with competing interests
Next: SEC charges former Deloitte father, son with insider trading


How about you do a little more analysis on the Waters piece before providing us with " probably".

Posted by: Anonymous | August 3, 2010 12:06 PM | Report abuse

Maybe you should check in on a case CMKM Diamonds has aginst the former commisioners of the SEC and how they made a deal with all the Brokers to payup or go to Jail!!

Posted by: Anonymous | August 3, 2010 5:58 PM | Report abuse

Post a Comment

We encourage users to analyze, comment on and even challenge's articles, blogs, reviews and multimedia features.

User reviews and comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site. Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. Finally, we will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site. Please review the full rules governing commentaries and discussions.

characters remaining

RSS Feed
Subscribe to The Post

© 2010 The Washington Post Company