Re: insider trading
Billy>>
Wouldn't
this be insider trading? What is the thought on this? An insider
normally cannot trade just prior to material news being released. And
good news of UMU 13 well results were made public on 12/4. In addition,
there is often a restriction on insiders trading on material news until
2 or 3 business days after a material news (pipeline) release. Trades
by relatives of insiders count as insider
trades<><><><>SEC penalties are very harsh on
this with max jail time of 20 years and max fine of $5mil and in
addition large civil penalties can apply. I am not saying anyone is
guilty of insider trading but with so many shares traded and the timing
with big price increase on Dec 3-4 and sells not being reported until
weeks later when rules say 2 days to report inside trades; I would think
could draw attention and could be an issue.
====================
It is Insider trading and rules states 5 Business days for reporting not 2. More then likely why the Board had to step in and suspend Wade in order for them to perform their Investigation and Cooperate with the ASC.
Whether it was plan or not , sadly his triggering of sales was ill timed to say the least ! It will be interesting to see what the ASC does and if they ask for disbursement of the profit....one thing for sure in trying to resolve one problem he's created another major one...