This is the sort of thing that should be forcing the Rick Santelli Brooks Brothers mob to get their silk boxers twisted in a knot:
In a letter sent to the commission last Thursday, Charles E. Grassley, the Iowa Republican who is the ranking member of the Senate Finance Committee, asked Mary L. Schapiro, the chairwoman of the S.E.C., whether it had followed up on allegations that were brought to its attention last spring involving a unit at Lehman Brothers. Employees in the unit, known as the Product Management Group, appear to have tipped off clients and traders about the content of the firm’s research reports before they were released, a former Lehman analyst said.
The letter does not disclose who might have received the tips, if they were made.
The insider trading allegations, and more than 4,000 e-mail messages relating to them, were presented to Linda Thomsen, the former director of enforcement at the S.E.C. last April by Ted Parmigiani, a former analyst at Lehman who followed the semiconductor industry. According to Mr. Grassley’s letter, Mr. Parmigiani spoke with high-level enforcement officials several times both on the phone and in person. An in-person meeting on April 30, 2008, lasted for six hours, the letter said.
Mr. Parmigiani, who was dismissed by the firm in June 2005 for what it said were performance issues, declined to comment.
Our noble captains of industry, our leaders of the free market, the guys who Haley Barbour thinks are the ones who should lead us back to glory and who are so delicate that the threat of a minor increase in taxes years down the road means that you should screw unemployed people today, these saints have been screwing the American people and the average investor every single step of the game. Clearly this is something that can be fixed by more deregulation and deference to the holy practice of business.