As you may have heard, earlier this week two JP Morgan employees, Javier Martin-Artajo and Julien Grout, were charged by federal prosecutors with conspiracy, wire fraud, and false filings, for “engaging in a scheme to falsify securities filings between march and May of 2012.” Both men were based in JP Morgan’s London office (as was the guy whose PnL they were allegedly falsifying, AKA the London Whale). Presently, both remain overseas, though Manhattan U.S. Attorney Preet Bahara has urged them to “do the right thing” and surrender stateside. According to Grout’s lawyers, that’s not going to happen any time soon because 1) he is busy looking for a job and 2) he doesn’t consider himself a fugitive (and France has “no obligation under its extradition treaty with the U.S. to send him to New York). As for Martin-Artajo? As far as he knows, he’s yet to be given a valid reason why there’s anywhere he needs to be besides a beach sipping drinks with tiny umbrellas in them. Read more »
If There’s Some Reason Indicted JP Morgan Employee Should Cut Vacation Short, Fly To U.S., He Hasn’t Heard ItBy Bess Levin
Woman Who Insider Traded On (Two-Timing) Boyfriend’s Behalf Did So In The Hopes Of Taking Relationship To The Next LevelBy Bess Levin
In the summer of 2009, Jessica Mang, far left, met an investment banker named Thomas Ammann at a nightclub in London. Both liked what they saw and started seeing each other “at least once a week,” on days he wasn’t with his other girlfriend, Christina Weckwerth. Things were going well, but by November, Mang wanted more. So when Ammann said he was going to take her on a romantic getaway to Seychelles, and all she had to do first was use her own money to trade on material non-public information he’d obtained from his job at Mizuho International about Canon’s purchase of OCE NV and then give him half the profits, she jumped at the chance. Not only did he want to go away with her (huge!) but he was entrusting her with such an important project (huger!); Mang had read all the dating books and knew that if a guy asked you to violate securities laws, it meant things were getting serious. Read more »
John DiBiacco Will Never Forget The Day He Told Kweku Adoboli To Cut Risk To Zero, Hours Of Silent Treatment He Received AfterwardBy Bess Levin
In Southwark Crown Court in London, the boyish-looking Mr. DiBacco was cross-examined for more than three hours by Mr. Adoboli’s lawyer, Paul Garlick, whose questions appeared to be aimed at showing the Swiss bank was fully aware of his client’s activities and that his trading was in line with the risk-taking culture in London. Mr. DiBacco was the former global head of synthetic equity trading at UBS and Mr. Adoboli’s boss before he was terminated in January 2012 for failure to supervise. Mr. DiBacco said he disagreed with UBS’s assessment of his performance. Earlier on Friday, a prosecutor, Sasha Wass, focused on the risk limits Mr. DiBacco placed on the London trading desk when he took it over in April 2011. Mr. DiBacco, dressed in a blue pin-striped suit, pale blue shirt and red silk tie, testified that in late July 2011 he telephoned Mr. Adoboli while on vacation in Colorado and ordered him to cut the risk in his trading book. Mr. DiBacco said he remembered the conversation with the trader “very clearly’’ because he was speaking on the telephone in front of his girlfriend who was “not particularly pleased’’ that he was talking about markets and risk while on vacation. “Shut everything down,’’ Mr. DiBacco said he told Mr. Adoboli. “I want no risk.’’ [Dealbook]
Possibly, according to some of our favorite tax evaders in town, who were told not to come in for the day. Of course, they may be jumping to conclusions, and it could have nothing to do with a pig disease outbreak at all. It could very well be that UBS is shutting down. Or it could be herpes.
Some stories, you just have no idea how to improve on. The irony and satire is so implicit in the fact pattern that any commentary seems somewhat strained by comparison. One struggles to unify the themes, only to find them so intricately locked in a matrix that to move them is to detract from the whole. For instance:
Invented at Disney World
Requiring medium and larger firms
To offer paid vacation
To make the economy more efficient
Rep. Alan Grayson was standing in the middle of Disney World when it hit him: What Americans really need is a week of paid vacation.
So on Thursday, the Florida Democrat will introduce the Paid Vacation Act — legislation that would be the first to make paid vacation time a requirement under federal law.
The bill would require companies with more than 100 employees to offer a week of paid vacation for both full-time and part-time employees after they’ve put in a year on the job. Three years after the effective date of the law, those same companies would be required to provide two weeks of paid vacation, and companies with 50 or more employees would have to provide one week.
The idea: More vacation will stimulate the economy through fewer sick days, better productivity and happier employees.
This is, of course, why French industry dominates the European continent.
Alan Grayson to introduce Paid Vacation Act [Politico]
Inflation spirals out of control. Fannie and Freddie are failing. Global construction bets are on the verge of blowing up.
There. You’ve got your big, market-moving hard news out of the way. Now let’s settle into some real summer silliness. Everyone’s favorite penny stock trader and budding internet entrepreneur Tim Sykes is about to leave for an extravagant vacation in Japan. He plans to spend $11,000 in seven days by dining on pricey sushi and staying in Ritzy hotels. Then he’s going to climb Mount Fuji, just to say he did it.
We’re pretty sure this entire trip has been planned just to anger his critics. So don’t take the bait. Instead, in comments below, describe the best vacation you ever took and how much it cost you. Go on, show your baller cred.
How To Spend Trading/Blogging Profits: My 7-Day $11,000 Trip To Japan [TimothySykes.com]