Stinging from a rebuke that the rest of us will not soon forget, the SEC is seeking to demonstrate value once again. What better way to accomplish this than by lifting tried and true methods from the local PTA? A little polish, some duct tape, the application of a Dremel tool and poof! Meet Your Regulator:
Leading the charge is SEC assistant regional director Bruce Karpati, who heads the agency’s Hedge Fund Working Group.
“We need to be policing even the most complex markets to ensure that all investors, regardless of their supposed-sophistication, have a fair shake,” Mr. Karpati said. “We have to be every bit as sophisticated.”
It’s somewhat an about-face for the SEC, whose former chairman, Christopher Cox, said in a 2006 congressional hearing that “neither the SEC nor any regulator has authority over the CDS market.” The SEC has always maintained it has authority to enforce fraud involving derivatives.
[...]
Mr. Karpati, a 39-year-old native of Buffalo, N.Y., and SEC staff member since 2000, led the SEC’s 2003 civil insider-trading case against homemaking magnate Martha Stewart. The case alleged Ms. Stewart sold ImClone Systems Inc. stock in 2001 based on inside information that ImClone’s cancer drug wouldn’t be approved by the Food and Drug Administration. Ms. Stewart served jail time for lying to federal prosecutors, and settled in 2006 with the SEC.
Celebrity jail time for lying! Outstanding! A leap forward for regulator customer service. Smiles all around, particularly, as you see, on Mr. Karpati. Good Job! We are here for your protection, remember. Next week: Big regulators come in small packages.
As SEC Steps Up Vigilance, It’s Policing Some New Beats [The Wall Street Journal]
Won’t work. He has to come from Bangalore if you want a good job done. Just Sayin’
no hatin
Glad to see they followed the advice of Markopolis and found an old HF quant…
Does he like rub & tugs and slapping his secretary on the ass like Bernie?
Nothing good ever comes from Buffalo, save for hot sauce and rogue Canadians.
Also, aren’t tinted-glasses a sure-fire sign that someone’s a pothead? Give this man a drug test, stat.
Wow, check out the big brain credentials on Brad. Martha Stewart case? Fuck, all the Ponzi boys [and girls] are quaking in their shoes.
best thing to come out of Buffalo since Norwood’s shank…
So with this appointment the hedge funds are running for cover? You don’t think so then you should celebrate. Or are you whining because Chris Cox left the building?
I like Buffalo Wings.
Too easy
Hey Bruce, I am giving a hint…:
Horse face
Does he have a gold teeth way back on his left side?
Also, don’t forget the conditioner!
Mr. Karpati, a 39-year-old native of Buffalo, N.Y., and SEC staff member since 2000, led the SEC’s 2003 civil insider-trading case against homemaking magnate Martha Stewart.
Three weeks ago, it was learned he had failed to pay his 2005, 2006 and 2007 federal income taxes.
Pursuant to administration policy, upon discovery Mr. Karpati had failed to pay his income taxes, he was immediately promoted to a highly sensitive position overseeing the nation’s financial system.
This doesn’t make any sense. Is it his wife or his brother that is working at Goldman?
@13
The SEC isn’t a GS connection (per se), you must be thinking Federal Reserve or Treasury.
SEC is just a place to park mediocre law-school grads for 5-10 years before they can go into private practice/”consulting”/pron
Get this complaince officer back in his office ASAP.
You punks get back to pushing Webistics right away. Molitsanti will be back from his meeting in Point Pleasant soon.
Anyone have a copy of his resume?
This city boy looks like he’d be good eatin’ for my pigs. I doubt he’d last 5 seconds on a serious steer.
Charlie Assbagarino and I once ate over 6 pounds of sausiche and peppers together – the only way this government douche could pack that much sausage is through a non oral orifice.
The Guy From Delaware
Karpati is the smiling face of evil incarnate; he looks like a picture perfect satan. Karpati needs to be removed from the SEC for a clean break with the lawless Bush era.
If the Martha Stewart case had gone to trial, she would have won hands down in a fair trial, but she would have won the battle and lost the war because her company would not have survived. Karpati showed a reckless and irresponsible disregard for the survival of her company and the jobs of its employees. As a regulatory terrorist, he was prepared to destroy her company over a small personal and absolutely legal stock sale under the plain language of the securities laws.
The securities laws have existed for seventy years or more, and over this long period of time, never before was there any regulatory overreach, activism, tyranny, extortion, and expropriation spearheaded by Karpati, who was a 33-year reckless scumbag who had too much power in his hands.
Only a liar can say Martha Stewart lied because there was no lying evidence. She made a small-time personal stock sale and owed nobody, including regulatory terrorist Karpati, any explanation. She was not an insider; she had no insider information; she was involved in no insider trading. The SEC case was bogus; the criminal case was bogus and the jury verdict was bogus. From beginning to end, the Martha Stewart case was bogus but sadly she had grossly incompetent legal representation. In fact, the Martha Stewart case stands for legal malpractice.