AMR Director charged with insider trading

[wcs]

The Securities and Exchange Commission announced the civil charges against Rajat Gupta.
http://stocks.usatoday.com/custom/usatoday-com/html-story.asp?guid=%7B981bbada%2Dc206%2D4f10%2Da142%2De91d8f9fea68%7D

 

[TWU informer]

Give the man a bonus before he leaves and goes to a competitor.

 

[High Speed Steel]

Give the man a bonus before he leaves and goes to a competitor.

Were is my "Like" button for this site? Facebook has one, pony up US Aviation.... 😀

Oh, never mind I found it...1 green up for you Informer 😀

 

[eolesen]

Give the man a bonus before he leaves and goes to a competitor.

Outside director, not on payroll. And I know the standard is different for y'all, but last I checked he's assumed innocent until proven otherwise.

I know it is shocking to say, but not everyone charged by the Feds is actually found guilty. Many have charges dropped as more facts come to light, and others are cleared thru the judicial system...

 

[FWAAA]

Procter & Gamble announced yesterday that Gupta had resigned from the board of P&G:

http://www.bizjournals.com/cincinnati/news/2011/03/01/gupta-resigns-from-procter-gamble.html

I assumed on Tuesday when this broke that he would resign his board position at AMR. So far, no news.

 

[damajagua]

No resignation from AMR yet

 

[chris perry]

I read the sec charges.........He's going to need a good lawyer, he shoud have stayed off the phone after board meetings .....

 

[Hopeful]

I read the sec charges.........He's going to need a good lawyer, he shoud have stayed off the phone after board meetings .....

They had no proble terminating the JFK FSC for his "remarks" which violated Rule 32...
I guess this director gets to wait until he is either proven guilty or not...

If anyone does not beleive in class warfare,,,,you need to rethink your position.

 

[Frank Szabo]

If anyone does not believe in class warfare, you need to rethink your position.

... ain't that the truth? Give him 30 years in the electric chair and deport him after the prison time he won't get.

 

[eolesen]

First, the JFK FSC admitted his remarks. Second, this guy isn't an employee. He's elected by the shareholders as an outside. Directors aren't typically fired without a shareholder vote. In the case of P&G, he resigned.

Maybe Arpey has already asked for his resignation, and he hasn't acted on it? Or maybe they feel there's not enough of a basis to do so yet.

Nothing has been proven other than records showing a phone call took place between the two. Unless they were also wiretapping him, the circumstantial evidence may or may not be enough to convict, especially since he didn't personally profit from the action.

 

[FrequentFlierCA]

Last time I checked people were innocent until proven guilty in this country, meaning that our system gives him the benefit of the doubt.

Even if he's a bad seed he'll go away for a long time and cool his heels in an 8' x 10' cell. Doesn't mean that all directors are bad, as much as some of you might want to portray it that way.

 

[FWAAA]

Even if he's a bad seed he'll go away for a long time and cool his heels in an 8' x 10' cell. Doesn't mean that all directors are bad, as much as some of you might want to portray it that way.

Agree that Gupta's alleged wrongdoing does not mean that all directors are crooks.

Disagree that Gupta is facing jail time. Gupta was charged with civil violations and is facing restitution and civil fines, not incarceration. The guy that Gupta is alleged to have called, Raj Rajaratnam, faces a potential 185 years.

 

[FWAAA]

Gupta resigned today, says AA:

http://dealbook.nytimes.com/2011/03/07/gupta-resigns-from-amr-board/

If he beats the civil suit brought by the SEC, he could be re-elected to the board.

 

[AANOTOK]

Last time I checked people were innocent until proven guilty in this country, meaning that our system gives him the benefit of the doubt.

Obviously, you don't work for AA!

 

[Frank Szabo]

Obviously, you don't work for AA!

The system actually does work that way for those high enough on the food chain - the rest of us aren't thought very well of by the elite and, therefore, "deserve" little (no pun intended) consideration.

"Justice" has become a matter of how much of it one can afford.