Hank Paulson insider trading exposed

if there was ever a case to be made of insider trading and a connection to goldman sacks with the people in charge of the economy (Hank Paulson) treasury secutary this is it.

after the 60 mins aired a story about insider trading in congress,


people were horrifyed by the privledge that law makers gave themselves to trade on insider knowledge,
but the next example is taking advantage of family destroying knowledge and allowing the very people who caused the damage in the first place to make further profit by the collapse of freedy and fannie.

7 days before it was public knowlede and in the worst financial crisis of the melt down,
Hank Paulson was busy giving the insider knowledge of the failing freddy and fannie to favoured goldman and hedge fund managers.

weather Paulson crossed the line is a moral judgment, after all he made money from the collapse of a company using insider knowledge but is exempt from prosicution.

but the goldman and hedge fuund managers are not imunine to prosicution under insider trading laws even if their information was.
example,
paulson may not have traded on this knowledge but his friends did, and this is still the crime of trading on insider knowledge, privlaged information.

so at the time we were told the world would end unless the banks were bailed out, they were already headged against losses, in effect they made money on the fact they knew that fannie and freedy were in trouble.

insider trading is still a crime unless you are in congress, and those in congress who insider trade on information on the destruction of wealth of their people are in a way traitors to those same people

why is there two sets of rules

1 LAW FOR ALL

n other words the point of the meeting was nothing short of the former Goldman CEO telling all his former Goldman colleagues just what he was planning on doing in his capacity as Treasury Secretary.

Others also benefited:


Non-Goldman Sachs alumni who attended included short seller James Chanos of Kynikos Associates Ltd., who helped uncover the Enron Corp. accounting fraud; GSO Capital Partners LP co-founder Bennett Goodman, who sold his firm to Blackstone Group LP in early 2008; Roger Altman, chairman and founder of New York investment bank Evercore Partners Inc.; and Steven Rattner, a co-founder of private-equity firm Quadrangle Group LLC, who went on to serve as head of the U.S. government’s Automotive Task Force. Another person in attendance: Michele Davis, then-assistant secretary for public affairs at the Treasury Department, who now represents Paulson as a managing partner at public relations firm Brunswick Group Inc. In an e-mail response to Bloomberg Markets, she referred all questions to Paulson’s book on the financial crisis, “On the Brink” (Business Plus, 2010), which makes no mention of the Eton Park meeting.

No mention? What a shocker. Perhaps it may have to do with this:


The fund manager who described the meeting left after coffee and called his lawyer. The attorney’s quick conclusion: Paulson’s talk was material nonpublic information, and his client should immediately stop trading the shares of Washington- based Fannie and McLean, Virginia-based Freddie.

from zero hedge

A Different Message

At the Eton Park meeting, he sent a different message, according to a fund manager who attended. Over sandwiches and pasta salad, he delivered that information to a group of men capable of profiting from any disclosure.

Around the conference room table were a dozen or so hedge- fund managers and other Wall Street executives -- at least five of them alumni of Goldman Sachs Group Inc. (GS), of which Paulson was chief executive officer and chairman from 1999 to 2006. In addition to Eton Park founder Eric Mindich, they included such boldface names as Lone Pine Capital LLC founder Stephen Mandel, Dinakar Singh of TPG-Axon Capital Management LP and Daniel Och of Och-Ziff Capital Management Group LLC.

[url=http://www.bloomberg.com/news/2011-11-29/how-henry-paulson-gave-hedge-funds-advance-word-of-2008-fannie-mae-rescue.html#dsq-comments]bloomberg[/u rl]

xploder

Nice find XP

I will watch this video now, I am not surprised, he used to work for GS before right

Everyone on the hill is probably doin it.
Hopefully they comeout with more stories like this.


P.S. There has to be a reason why this is coming out now also. Elections coming up or something?

reply to post by KingAtlas


there are groups around the world who are looking at and directly for trades by washington insiders that made huge money on insider trading by congress. when ever a bill passes they "look back" to see who bought just before legislation causes a price change.
they have been sucessful in finding links to goldman and politicians trading accounts, even blind trusts look to be beating the average by a few persent and by a few days.

when corruption is rampant and insider trading is the norm,
it shows up in regular trading as above average margins.

there is now many hundreds of people looking back at bills and stock puchases, (and this number is growing)
with the help of stock analists and out of work traders suspect trades are being investigated
if the govenment wont prosicute they will give the information to the people and let them decide

when a politician says he stands for the good guy and then bets against his people it shows up quite clearly in there trading behaviour.

as each case is made and conclusive or even not so conclusive evidence is presented as better than wall street traders margins, public opinion will destroy those trading off insider knowledge when the result is a loss to the people they pretend to care for.

only to expose the corruption and destroy those who abuse the power entrusted unto them.
will true for the people democracy work.

this is why insider trading is being investigated by the people for the people

xploder

reply to post by XPLodER


This is something I read a while back, and maybe you can find this info again and add it to your thread?

Another great trick our "leaders" have is this-
When the president nominates someone for a cabinet position, that person is afforded a very exclusive right.
For example, Paulson was nominated treasury secretary by bush. Now in order for Paulson to maintain any ounce of credibility, he basically had to sell his shares in certain companies, so that he wouldnt be able to influence his own wealth through being treasury secretary(atleast not directly ). So in order to make this fair, whenever a person does this, they are not TAXED on the income from selling off their stocks.
So, when paulson became Sect. Treas. he got to sell about $400Million worth of stock and not have to pay 1 red cent in tax. I hope you can dig this info up!

Originally posted by VonDoomen
reply to post by XPLodER

 

This is something I read a while back, and maybe you can find this info again and add it to your thread?

Another great trick our "leaders" have is this-
When the president nominates someone for a cabinet position, that person is afforded a very exclusive right.
For example, Paulson was nominated treasury secretary by bush. Now in order for Paulson to maintain any ounce of credibility, he basically had to sell his shares in certain companies, so that he wouldnt be able to influence his own wealth through being treasury secretary(atleast not directly

). So in order to make this fair, whenever a person does this, they are not TAXED on the income from selling off their stocks.
So, when paulson became Sect. Treas. he got to sell about $400Million worth of stock and not have to pay 1 red cent in tax. I hope you can dig this info up!

thank you
this sounds like a mecanism for the super wealthy to avoid paying taxes fairly
another exclusion from the law of 1 LAW FOR ALL
and it explains the revolving door of goldman to white house and back again.

thry are using a loop hole in the tax laws to avoid the irs
if people knew that the politicians exempted themselves and then exploited the use of this loop hole,

that IF CONGRESS PAYED THEIR FAIR SHARE OF THE TAXES
teachers and students and people and police would nave more money to use in society,
WHY ARE THE POLITICIANS using tax loop holes to "realise" profits without taxes that would contribute to the society they pretent to represent?

i will return after a look at some of the numbers

xploder

reply to post by XPLodER


Found it- First link I found, but they quote "The Economist"

DailyKOS

When Hank Paulson agreed to become Treasury Secretary in May of 2006, he found himself in a bit of a pickle. You see, he owned about $500 million in Goldman Sachs stock, from his days as CEO of the firm. So to avoid any appearance of a conflict of interest, government rules forced Mr. Paulson to sell all that stock. Phew, looks like we dodged a bullet there… Mr. Paulson’s conflict of interest also brought a very unique benefit: He didn’t have to pay any capital gains taxes on the sale of that stock — zero. The Economist estimated his tax savings to be $200m.

reply to post by VonDoomen


ok so add to paulsons moral charge of helping others benifit of the insider knowledge while america suffers,
that 200 million dollars in due taxes was "avoided" by his "appointment" to the treasury.

i wounder if the money stayed with paulson or was re invested with goldman after his leaving treasury secretary?

these people who seek to led sure do alot of this that would get the "ordinary" person indited on federal charges.

the numbers of people appointed from goldman sacks looks excessive i wounder what the total tax free savings were for all the opiniontees while goldman had fed reserve money during the period 2007 -2011

if the number of dollars involved was in the billions, then massive amounts of tax money due went in the hands of the bankers and CEOs of goldman instead of to the tax paying public.

this serves as a quasi legal tax haven and im sure alot of money has been "realised" by this method.

i will pass on this info to see who and how much was hidden from the IRS,
exempt taxes for the rich, while the rest are offered cuts by a frozen congress
WTF?

xploder

good old hank also let lehman go down, a goldman competitor. they will tell you they offered a hand up, but the terms were designed to be turned down.

annnnnd

nobody will be punished for this