“This morning (10/23) SEC Chairman Chris Cox was repeatedly asked if he had
authorized the dismantling and the elimination for funding from his
own budget for a Committee that was to have the SOLE responsibility to
investigate DERIVATIVES and CDOs. He REFUSED to answer the question –
although the Congressman had PROOF in his hand that he had
INTENTIONALLY railroaded the effort to supervise these products. This
committee was to be formed to conduct these investigations and was
funded/authorized under the Clinton Administration and then was
immediately ABANDONED under the Bush Administration via the
appointment of Chris Cox as SEC Chair.”

http://oversight.house.gov/story.asp?ID=2256

“Then again, maybe the S.E.C. is trying to cover up its own culpability in this (banking/investment) crisis. Four years ago, the agency pushed through a rule that allowed the big investment banks to take on a great deal more debt. As a result, debt ratios rose from about 12 to 1 to more like 30 to 1. Guess what Lehman’s debt ratio was when it went bust? Yep: 30 to 1.”

http://www.nytimes.com/2008/09/20/business/20nocera.html?_r=2&8dpc&oref=slogin&oref=slogin

The SEC is not around to protect general investors. It is not there to deter corporations from committing financial fraud. It is not there to provide a balance to transparency and secrecy in any stock trade or barter.

Remember who keeps the SEC paid: Congress. Remember who provides the SEC with more and more power: the Executive Branch. The SEC is the customer of these two branches of government, not your customer.

Remember when doctors were paid by patients, not third parties? They answered to patients, and only patients. Now, doctors are paid by third parties (medicare, insurance, etc), so they are no longer responsible to patients, who are the new third parties.

Just as the medical industry is a cartel used to provide more and more State power, the SEC is an organized cartel of those with State power prefering to profit from the losses and ineptitude of the masses. The more you look at the SEC, the more you realize that they’re not your friend, or my friend, but the friend of the elect that you probably put into office.

Don’t be mad at the SEC here for striking out at Cuban. This is what the SEC does. This is what they will always do. The AMA lobbies Congress for more control. The SEC listens to Congress in who to target. The IRS works with CPAs and other cartelized monopolists to hamper the profitability of those who don’t use the cartel. It’s all part of the game, just play along nicely.

Given the current situation in the financial markets is this really the best use of the SEC’s time and resources?

Yes, Stewart’s trial and jail time were about her statements to investigators. They felt pretty strongly she lied to them. I tried to make that clear and I’m sorry if it wasn’t.

She also faced no criminal charges of insider trading, but the SEC did indeed charge her in a civil complaint (see the link in the post). She also paid the SEC $195,000 in disgorgement, interest and penalties. So I’d have to say she’s in fact pretty relevant.

Kevin

Facts:
Step 1:CEO says your going to be highly diluted in a confidential non public personal note to Cuban
Step 2: Cuban calls his broker to sell ENTIRE position
Step 3: Public black eye for Cuban.His image is now like Martha Stewart
Step 4: Cuban settles and takes his private jet to Las Vegas and let out some steam
Step 5: Mavericks implode and Cuban blames the US Attorney