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Insider Trading Whistle-Blower's Story

Posted: Tue May 22, 2012 2:00 pm
by Number Six
http://www.nytimes.com/2012/05/20/busin ... RXTuiHqPqg

Good story; in this case the former Lehman securities pro was put out of work and blacklisted and the government was not able to build a case based on his information.

“'I told them that Galleon was one of the spokes of the wheel but that it was not the wheel itself,'” Mr. Parmigiani says, but his discussions led nowhere as well. Mr. Bharara’s office declined to comment.

"At his last meeting with the S.E.C., Mr. Parmigiani recalled, one of the officials said, 'We never doubted your credibility.'

"Today, Mr. Parmigiani spends much more time with his two young children; his wife has become the family’s breadwinner. He has paid a price for trying to blow the whistle on Lehman, but says he has no regrets. Still, he says, his experience suggests that the authorities are reluctant to go after high-level executives on Wall Street.

"As he puts it: 'Law-abiding citizens should not have to beg civil servants charged with law enforcement to do their jobs.'"