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February 18th, 2012 
FAKE NEWS for the Zionist agenda
By
Eddie Wrenn
Last updated at 3:07 PM on 17th February 2012
Tip-off: David Einhorn, of Greenlight Capital, in 2009
A top manager in a high-flying City firm has been fined £350,000 for insider trading.
The Financial Services Authority said Andrew Osborne, formerly a managing director in corporate broking at Merrill Lynch International, tipped off David Einhorn at American company Greenlight Capital in 2009.
In a phone call, Osborne indicated leading British pub operator Punch Taverns PLC would begin raising money by issuing new shares.
Within minutes, Einhorn’s firm dumped millions of the company’s shares.
Einhorn and Greenlight Capital Inc. were last month fined £7.2m for trading on inside information.
Two traders received smaller fines for failing to question Einhorn’s order to sell the shares.
Because the value of Punch shares would have fallen following the announcement of the share issue, Greenlight avoided making a substantial loss by selling them early following Osborne’s tip-off.
Tracey McDermott, the regulator’s acting director of enforcement and financial crime, said in a statement: ‘Osborne was a highly experienced broker in a position of considerable responsibility at a leading financial institution.
‘He was trusted as the gatekeeper of inside information and should have been extremely cautious in proceeding with the call with Greenlight in light of the clear legal and regulatory risks involved. By disclosing inside information, Osborne engaged in serious market abuse.’
Phone calls on the inside:
The FSA released details of the
telephone conference call that took place on June 9, 2009 between
Einhorn, Osborne and the Punch Taverns Chief Executive.
On
that call Osborne is heard telling Einhorn, a high-profile manager
known for his public crusades against abuses by public companies, that
Punch would need to raise around 350 million pounds in a future
fundraising.
Einhorn replies: ‘Wow,
wow. That would be shockingly horrifying from my perspective. Can you
sell half the company just at a buck and a half – a Euro – a pound and
half? Oh, no.’
Later on the
call – in which the Punch CEO also offers Einhorn a ‘pub crawl’ around
some English pubs – the Greenlight boss says he would like to arrive at a
full understanding of Punch’s plans, without ‘crossing any lines’.
Osborne then tells Einhorn the timeframe for the cash call would be ‘within less than a, kind of a week.’
The Punch CEO said no formal decision had been made for the fundraising.
Shares in Punch fell by almost a third six days later when the company announced its £375m pound equity fundraising.
London’s financial district: The FSA said ‘Osborne was a highly experienced broker in a position of considerable responsibility’
Einhorn is best-known outside the
world of finance for winning a major poker tournament in 2006, and also
for his unsuccessful attempt to secure minority ownership of the New
York Mets baseball.
In
issuing his fine, the authority watchdog accepted that Einhorn did not
believe he was breaking rules, but said he should have recognized that
the tip constituted inside information.
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