Is SEC lookng at SCO, MS?
p2pnet.net News:- “Although the Securities and Exchange Commission (SEC) never officially makes public when it investigates an organization, an SEC staff member told NewsForge that complaints and tips about suspected under-the-table funding, stock-kiting, illegal insider trading, and money-laundering involving Microsoft or Microsoft-connected individuals to the financially struggling SCO Group have been coming into the agency with regularity since last August. The SEC ‘does not take such complaints lightly,’ the source said.”
That’s a quote from a NewsForge story here on whether or not the SEC is taking a more than casual interest in the relationship between the two companies.
“At least a third of SCO’s entire market capitalization, and their entire current cash reserves, is payoffs funnelled from Microsoft,” says Linux expert Eric Raymond. “”Their 10Qs reveal that every other line of cash inflow is statistical noise by comparison. The brave new SCOsource business model is now clear: sue your customers, shill for Microsoft, kite your stock, and pray you stay out of jail.”
In the meanwhile, most of the complaints to the SEC were lodged by telephone and on its web site, says NewsForge, going on that any investigation would look into alleged backtracking and charting fund transfers, suspicious timing of certain stock transactions, possible instances of stock-kiting and insider trading, and other potentially serious infractions.
“If and when this all gets into court and becomes public record one day, the following allegations may be among those included in the litigation, it continues:
- That Microsoft used Lindon, Utah-based SCO Group as a puppet to create havoc in the courts against the open source software movement, which is the most serious current challenge to the Redmond, Wash., company’s longtime stranglehold on the personal computer software industry;
- That Microsoft apparently paid for influence among key software industry analysts;
- That insider trading was common among heavily invested people and companies;
- That conflicts of interest occurred, in particular one involving a stockbroker/analyst who appeared on a cable television show and gave a positive recommendation to SCO stock while he owned a substantial number of SCO shares and stood to profit personally from an increase in their value.
- That money was laundered involving two international banks and several key outside business people with close ties to both Microsoft and SCO Group.
“And this might not be the half of it.”
March 9th, 2004 at 3:24 am
“In the meanwhile”… either “Meanwhile” or “In the meantime” …
Also, who said the last quote? ESR? SEC? p2p? SCO? IBM?
March 9th, 2004 at 9:47 am
“Money Laundering”? LOL!
What on earth are you smoking boy?
Maybe in Canada , with your rabid anti-American hatred, one firm, LEGALLY investing in another firm or buying a software license from another firm is called money maundering.
Here in America, we don’t call legal investment or licensing softwaree, money laundering.
What we call money laundering is vicious Canadian drug dealers flooding America with marijuana that is being openly grown in Canada, and then trying to launder their ill-goten money throughAmerican banks.
We also call it money maudering when the very terrorist friendly Canadian goverment allows Islamic terrorists to openly ply their trade , using Canada as a base, and raise moeny in Canada, and then attempt to launder the money here in America.