Jump to content

Mark Zuckerberg sued for insider trading


nsane.forums

Recommended Posts

nsane.forums

Facebook founder Mark Zuckerberg is facing a class action suit from disgruntled Facebook investors who claim that he dumped $1 billion of stock on insider knowledge that it was grossly overvalued.

If you had a big stake in the Facebook IPO, you've got plenty of reasons to be a little upset about how things have been going since then. A new class action lawsuit takes things a step further by suing Mark Zuckerberg, claiming that the Facebook founder used insider knowledge to unload on $1 billion worth of massively overvalued stock.

The lawsuit says that Zuckerberg and Facebook's management knew that the site couldn't draw in enough advertising revenues to support the stock's $38 IPO share price, and that Morgan Stanley, JPMorgan, and Goldman Sachs all warned them about it.

Rather than doing the upstanding thing and taking action, Zuckerberg decided to dump a large portion of shares while the prices were still good. Only a select few 'major' investors were actually informed about the overvaluation.

Still, it could be worse - Zuckerberg hasn't faced any criminal charges so far, so he doesn't have to worry about any of the stiff penalties involved with insider trading. Yet.

Posted Image View: Original Article

Link to comment
Share on other sites


  • Replies 2
  • Views 935
  • Created
  • Last Reply

i dont think he every cars about a billion. then again martha stewart comes to mind. we all know and knew facebook was over rpice and over hiped. we all know the people working in facebook have a lot of facebook shares. well, its like having actually gold. it is worthless unless you find a sucker to buy it at what ever cost. this is why you should NOT buy gold now

Link to comment
Share on other sites


Hell, it could have brought down FB... Oh, wishful thinking... :(

As far as the trading goes, I can see the little wiener sandbagging his employees. It's in his eyes. And owning your company's shares - don't shit where you eat!

Take the money instead and go buy Google's shares. XD

Link to comment
Share on other sites


Archived

This topic is now archived and is closed to further replies.

  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...