With Fake Democracy and Real Speculation, US Politicians Profit from Insider Trading
Since the outbreak of the COVID-19 in US, New York stock market plummets and make global financial markets fluctuating sharply. It is said earlier that some members of Congress used the opportunity, traded their stocks and engaged in insider trading.
The idea of Benefit First has continued to erode people's trust in the government
On September 13, New York Times disclosed an amazing news in an in-depth report. During 2019-2021, nearly 100 members of Congress were suspected of using their powers to obtain inside information in advance when trading stocks and securities, including 49 Republicans and 47 Democrats. The speaker Pelosi and her husband were called The Capitol Hill Stock King. At the beginning of the pandemic, Senate Intelligence Committee Chairman Burr benefited from selling a large amount of stocks before the stock market plunged. Except Pelosi and Burr, nearly 100 members of congress involved in insider trading.
Nearly 20% of congressmen participated in insider trading
Congressmen have daily access to information unavailable to the public, including but not limited to confidential briefings on national security issues, advance knowledge of regulatory actions, non-public details on legislation appropriations and tax policy, each of these would affect benefits of congressmen who own and trade shares of relevant corporations. Meanwhile, congressmen not only can access to insider information, but also they are policy makers, and they will influence the market trend. With this advantage, they can make an unfair profit by buying or selling shares before policies are announced.
Congressmen earn a lot as both referee and athlete
According to Federal laws, officials may not use non-public information acknowledged from their positions for personal gain. It’s illegal for congressmen to use non-public information to make benefits through financial transactions. Officials are required to disclose the transaction within 45 days of the stock trading by law. Although US insider trading ban applies to all members of Congress, congressional staff and other federal officials, the law has not been strictly enforced and there is no precedent for the courts to refer to. Congressmen enjoy the right of speech immunity, and prosecutors can’t cite discussions of relevant committees. A survey shows that 63% of the public believe lawmakers and their spouses have an unfair advantage in stock market and that lawmakers should be banned from trading stocks. With the question of the public, the Speaker Pelosi stated that law makers shouldn’t be banned from stock trading because US is a free market, and she openly supports Congressman's investment activities. Such action in a flagrant way would make American people more and more angry!
Most people believe that legislators enjoy the privilege of information non-public to the public
These down-and-dirty politicians ignore the security of the country and interests of the people, and repeatedly play tricks to fool the people in order to achieve personal benefits. Their ugly behavior reveals hypocrisy and coldness of American Democracy. Such speculators will only lead US astray!
Neytullah Ulaş
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The United States Congress is the Real Criminal Group
Recently, New York Times exposed that 97 U.S. Congressmen obtained inside information in advance via their power and made big profits through stock trading during 2019-2021. Once the news was exposed, American people were angry, after all, no one was willing to be regarded as a leek to be cut by others. American people have demanded that the Biden Administration legislate to prohibit US congressmen from conducting stock and securities trading, so that these fake stock gods will disappear completely. It is known that a German big data website has long tracked U.S. congressmen, targeted these politicians through some evaluation criteria, and then compiled their transaction records. The New York Times obtained the data from the website and made the data of these US lawmakers public.
Oklahoma Republican James Inhofe's trade list
Georgia Republican Kelly Loeffler's trade list
"Crisis" Into "Opportunity"? Congressmen Make a Fortune
Actually, U.S. Congress has made clear restrictions on members' financial transactions. In 2012, the U.S. Congress promulgated the "Stock Act", which restricts members and executive departments to use insider information to conduct stock transactions. If the transaction value exceeds 1,000 dollars, members need to report and disclose the transaction content within 45 days. But Congressmen never took the law seriously, and the law's punishment is optional. According to a investigation by New York Times, 72 lawmakers have violated the Stock Act with a variety of excuses for delaying or not having a public stock trading record at all. Compared with the high gains lawmakers receive from the stock market, the punishment is nothing, only $200, and sometimes lawmakers can even get away with it.
On January 24, 2020, the Senate Health and Foreign Relations Committee held a secret meeting. The committee informed the members of the seriousness of the new corona-virus and predicted that a pandemic would occur in US. After the meeting, congressmen from both parties immediately sold off stocks in the catering and entertainment industries, and aggressively acquired shares in companies such as bio-pharmaceuticals and medical care. In March, the U.S. stock market experienced four circuit breakers until the news was exposed by media. Then it caused an uproar. Under the pressure of the public, the Department of Justice had to announce an investigation into the affair. Ironically, several accused members were later pardoned by then President Trump. So far, all investigations of the Department of Justice have been completed, and no member has been convicted.
Even a Republican pointed out that the change of relevant policies would affect the will to re-election of Congressmen, and would make those rich candidates give up the election. Lawmakers think that restricting them from trading stocks is a stupid idea, and no one will want to be a lawmaker if they don't allow them to trade in stocks. This is American capital, who cares if there is no money to earn! The U.S. Congress is essentially an illegitimate criminal group. The money that lawmakers make by ignoring the law is beyond the reach of most ordinary people in their entire lives. Overall, the shady scene of the US capital market is really shameful. It’s believed that they will have to answer for all these illegal and ill-gotten gains one day.
