Thursday, August 2, 2012

"Lessons in How Not to Insider Trade" (BMY)

There should be mandatory continuing ed for upper level managers, to keep them from looking like morons if nothing else.
From the WSJ's Lae Blog:
If there’s a lesson to be learned from Thursday’s ten-page criminal complaint accusing Bristol-Meyers Squibb executive Robert Ramnarine of insider trading, it’s that Yahoo searches are no place to learn how to get away with  it.

Mr. Ramnarine, who served as assistant treasurer for capital markets at Bristol-Meyers Squibb from June, 2011, was charged in New Jersey federal court with three counts of securities fraud related to alleged insider trading in the stocks of three companies Bristol-Meyers was targeting for acquisition.

According to the complaint, about a week before some of the alleged trading, Mr. Ramnarine opened up Yahoo on his office computer in Princeton, NJ and entered a flurry of searches, including “can option be traced to purchaser,” “can stock option be traced to purchase inside trading,” “insider trading options traceillegal [sic].”...MORE
HT: Professor Bainbridge