Martha Stewart Insider Trading Scandal

But who is Martha Stewart and what is her background? I personally didn’t know who Martha Stewart was until her case came out to the public, still until today

Martha Stewart may be America's most famous businesswoman. Considered a "cultural icon" (Byron, 3), she made a name for herself through

She took an opportunity when she received word that the company, ImClone was about to crash to remove 4,000 shares where she would avoid losing about 46k dollars. Investigation into the case and begun and developments in the case had started surfacing on the truths in the case. On December 27th, Martha Stewart told investigators that she was traveling on a trip when she called to check her messages and her broker had stated that the company had fallen under $60 per share so he sold them. According to the literature, Martha Stewart claims that she had set up a “stop-loss” order, which states if the shares fell below $60/share that they would be sold. Unfortunely, this was not the case when the broker’s assistant came forward and told Merrill Lynch that his boss had told him to lie about the “stop-loss” order. He started cooperating with federal investigators and later was fined and fired from the company along with his boss for the involvement they had in the scandal. On the other hand, after everything started falling apart, Martha Stewart later resigned from her board at the New York Stock Exchange. Later in August, investigators begin building their case against Martha Stewart in her involvement with inside trading and lying about the “stop-loss” order. Investigators reached out to Stewart’s lawyers but later made a statement that Martha Stewart would be pleading the Fifth Amendment and keeping quit about anything to do with the case. As a result, the SEC filed charges against Martha Stewart, and she was found guilty on four counts of obstructing justice and lying to federal investigators. On June 17, 2004, Martha Stewart was sentenced to five months in prison and two years of supervised release along with a healthy fine attached. Till this day, Martha Stewart pleads her innocence and states that she did not do anything wrong. She is currently making a comeback with her company and

I am writing to address some concerns I have about the future of your company, Martha Stewart Omnimedia (MSO). Perhaps the one issue that you are grappling with at present is about the Imclone scandal. You have been accused of selling $227,000 worth of Imclone stock based on inside information. Because of these charges of insider trading, your critics have summarily associated you with other disgraced company directors: Kenneth Lay of Enron and Bernard Ebbers of WorldCom. But the strange thing about your case is that while other CEOs have been charged for making use of their own companies to gain profit for themselves, you, on the other hand, have not

Martha Stewart and the Lehman Brothers are both well recognized, but both tend to get involved in situations that range from the unethical to the illegal. Martha Stewart is one of the more popular favorites when it comes of decorating; her reputation as an authority on cooking and entertaining makes her famous and successful. Martha Stewart created Stewart Living magazine in 1990, in partnership with AOL Time Warner’s publishing division. Thus, by 1998, she bought some stakes in the magazine, which at that time had annual earnings of $180 million. In that same year Omni, media sold its shares to the public. Martha Stewart was then indicted by a federal grand jury on charges of Securities Fraud, Perjury and Obstruction of Justice. Furthermore,

Oprah, the one who never gave up on her dream The free enterprise system has many advantages for the people. Freedom to choose our own business, right to own private property, and the decisions that go into making our business thrive. Oprah Winfrey, one of the most successful woman in America, who had started off with wearing clothes made from potato sacks, is now making millions for her talk show "The Oprah Winfrey Show". However, The Oprah Winfrey show was not only her biggest success, but also has spin offs such as "Dr. Phil" and "Rachael Ray" which prove how successful she has become.

Martha, born as Martha Kostyra in 1941, began her path to fame as a model at thirteen years old. At a young age she had a fixation for cooking, decorating, and gardening. While attending college at Barnard College in Manhattan, she met Andy Stewart who she later married. After having one daughter, Alexis, Martha Stewart began working as a stockbroker on Wall Street. She worked as a stockbroker until 1972.

October 1999 she would return to working with Wall Street with her Martha Stewart Living Omineida Inc

The years 1969 and '70 were tough ones for the San Diego Street Journal, a muckraking, underground newspaper staffed by a ragtag group of antiwar activists and grad school dropouts. Vigilantes led by an FBI informant wrecked the paper's printing equipment, firebombed the car of one staffer, and nearly shot to death another. Among the Street Journal 's reporters was a young Lowell Bergman, whose later exploits as a 60 Minutes TV producer would be portrayed by Al Pacino in the movie The Insider. "We were targets along with a lot of other people," recalls Bergman. "By 1971 we'd all left town."

Richard Scrushy, former Chief Executive Officer of HEALTHSOUTH Corporation, was ultimately charged with one count of conspiracy, ten counts of money laundering, thirteen counts of wire fraud, seven counts of mail fraud, two counts of securities fraud and lying to United States investigators, two counts of falsifying statements, and one count of falsifying certifications. The charge of securities fraud led to a probe of possible insider trading in his sales of HEALTHSOUTH stock. There is evidence which supports that HEALTHSOUTH’S administration began fraudulently “cooking the books” in the mid 1990s in an effort to build a sophisticated corporate Empire by:

DraftKings, a daily fantasy sports company, is being sued by the New York State attorney general’s office and investigated by Boston FBI. The New York State attorney’s office stated that DraftKings games constituted as illegal gambling under the state law.

I am surprised at the number of Steven Cohen’s fortune. Within two decades, he accumulated a vast fortune: “a sprawling 35,000-square-foot mansion on Connecticut's gold coast; a $62-million beach house in the Hamptons, and several New York apartments, including a $115-million midtown duplex -- all of them furnished with some of the world's most expensive art” (kqed.org). Moreover, I was shocked with Jiau’s illegal gain through insider trading. According to the interview, in exchange for her information, Jiau “reportedly received about $120,000 a year, plus a number of other perks such as three iPhones, a $300 gift certificate to the Cheesecake Factory, and a dozen fresh lobsters” (complianceweek.com).

Rajaratnam and Chiesi were captured and prosecuted for insider trading. The charges originated from an examination by the USAO into claims that Rajaratnam and Chiesi schemed in insider trading of stock for a few vast organizations. Raj Rajaratnam and Danielle Chiesi claimed a disclosure request issued by a local court within a common trial against them for insider trading documented by the SEC. The local court constrained the respondents to reveal to the SEC the substance of a huge number of wiretapped discussions that were initially gotten by the USAO and were swung over to the accusers within a different criminal trial.

Oprah Winfrey is more than just a talk show host, a celebrity or a cultural figure. She is a genius entrepreneur. She has made some of the smartest decisions. Every now and then in history, we find a life story that is truly remarkable. Oprah Winfrey ventured forth from the agonizing childhood that was her world of common day to a region of supernatural wonder. Oprah’s road to success was not an easy task. From her early childhood, Oprah challenged many fabulous forces that she encountered. Oprah Winfrey tells the life story one of America's richest and most successful show business personalities.

As the turn of the 21st Century evolved, it appeared as if Adelphia Communications Corporation was on a direct path of success; unbeknownst to their investors and the public, they were in reality on a direct path of destruction instead. Unfortunately, Adelphia is not the first major company in the history of the United States’ business world to lose the trust of the American public, but it is certainly one of the most notable ones to do so. As the events surrounding the Adelphia scandal unfolded in full view of the public eye, a multitude of media outlets were there to broadcast the destruction and distrust to the masses leaving many wondering if the term “business ethics” was actually nothing more than just an oxymoron. Throughout this