Insider Sales Are Not As Random As It might Seem. It is well defined, preplanned, and calculated. Lots Of examples follow. If BW screwed up on the so-called-takeover_but_not_A_takeover BS last week, this article gets them some creibility back.Read on. http://www.businessweek.com/magazine/content/06_45/b4008051.htm
All of which leads to an obvious question: Are executives using inside dope when they set up such plans? "What this suggests is that when executives know negative news is coming, they contract out a plan and direct it to sell," says H. Nejat Seyhun, a finance professor at the University of Michigan's Ross School of Business. "They are making an end run around the insider trading laws."
The question I have is.....How can anyone on this board or anywhere else be surprised by this.??? This has been going on AS A SCIENCE since Joe Kennedy was named the 1st SEC head in the 40's!!! He was a millionare when he took the job and a BILLIANARE a few years later. The truth is, how can you stop this from happening?? It's impossible.