Surprise, surprise: When corporate criminals exchange communiqués over email, guess what sorts of phrases they’re actually dumb enough to use? Try “cover up” and “nobody will find out,” according to the Financial Times.
Well, maybe no one would find out if you’d stop using a method of communication that lives forever on your employers’ servers!
If you work at a hedge fund and perhaps do a bit of light insider trading to fund your daughter’s equestrian extracurriculars, you might want to be careful about what you’re posting on Facebook and Twitter these days. There are FBI agents charged with highlighting any evidence of wrongdoing you might let slip.
Poor bastards, they probably joined up thinking they’d get to be some combination of Fox Mulder and Seeley Booth.
Has Blogging Become the New Insider Trading?
“People think there is a distinction between how an major investor can talk about a public company versus a private company,” said Ralph Ferrara, former General Counsel for the SEC. “But if you read the law carefully, you see that everything that you can do wrong when combining a public company with the media applies to investments in private companies as well.”
Michael Arrington wanted to have it all. The editor-in-chief of TechCrunch, the nation’s most powerful tech blog, had, except for a brief hiatus, invested his own money in the companies he covered. The move always prompted a bit of grumbling in the blogosphere, but nothing he couldn’t handle.
Then Mr. Arrington decided to go bigger. He tapped Silicon Valley’s royalty to raise a $10 million pool he dubbed CrunchFund.