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For the government corruption files… Do you remember the not-so-big-deal legislation known as the 2012 STOCK Act?
That's STOCK as in Stop Trading on Congressional Knowledge.
Members of the House and Senate passed this act – which in this case should be short for acting like whores – quietly because it pointed to Congress as a bed of lascivious insiders who trade for personal gain through the backroom market-moving horse trading that they massage into laws in D.C.
Of course, our Congress of paid pimps and panderers intended the STOCK Act to show everyone that they were willing to make a law to make sure they wouldn't do what they said they weren't doing.
Well, it looks like they may be doing it anyway.
Last year, under the cover of darkness, a Senate investigation looked into whether Mark Hayes, a top Senate aide on healthcare matters, broke any protocols (aka laws) when he apparently "predicted" in an e-mail to Height Securities (a "policy research firm"… wink, wink) that there was about to be some Medicare-related stuff coming down the pike that would move some insurance stocks.
Hayes is now a lobbyist – of course.
This kerfuffle happened in the Senate and was investigated within the Senate by Senate investigators. Can you guess what happened?
Well, I'm about to tell you …
Nothing happened. Senate investigators don't carry guns – they carry brooms. That's why there are lovely rugs scattered all over the Senate – perfect for sweeping things under.
Fast forward to today.
The Justice Department, the U.S. Securities and Exchange Commission, and a grand jury under the auspices of the U.S. District Court for the Southern District of New York – that's Wall Street's home court – want to talk to members of the House Committee on Ways and Means and Brian Sutter, staff director of the committee's healthcare subpanel.
And you'll never guess about what.
About the Author
Shah Gilani boasts a financial pedigree unlike any other. He ran his first hedge fund in 1982 from his seat on the floor of the Chicago Board of Options Exchange. When options on the Standard & Poor's 100 began trading on March 11, 1983, Shah worked in "the pit" as a market maker.
He helped develop what has become known as the Volatility Index (VIX) - to this day one of the most widely used indicators worldwide. After leaving Chicago to run the futures and options division of the British banking giant Lloyd's TSB, Shah moved up to Roosevelt & Cross Inc., an old-line New York boutique firm. There he originated and ran a packaged fixed-income trading desk, and established that company's "listed" and OTC trading desks.
Shah founded a second hedge fund in 1999, which he ran until 2003.
Shah's vast network of contacts includes the biggest players on Wall Street and in international finance. These contacts give him the real story - when others only get what the investment banks want them to see.
Today, as editor of 10X Trader, Shah presents his legion of subscribers with the chance to earn ten times their money on trade after trade.
Shah is also the proud founding editor of The Money Zone, where after eight years of development and 11 years of backtesting he has found the edge over stocks, giving his members the opportunity to rake in potential double, triple, or even quadruple-digit profits weekly with just a few quick steps.
Shah is a frequent guest on CNBC, Forbes, and Marketwatch, and you can catch him every week on Fox Business's "Varney & Co."
He also writes our most talked-about publication, Wall Street Insights & Indictments, where he reveals how Wall Street's high-stakes game is really played.