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- "My Tattoo Will Be a Constant Reminder"
"My Tattoo Will Be a Constant Reminder"
Good morning from Washington, D.C.! Let's roll.
Clips ✂️
Judges Deal Latest Blow to SEC’s In-House Courts
In the case decided Wednesday, the judges ruled that a nearly decade-old SEC enforcement action against a small hedge-fund manager was invalid because it violated his right to a jury trial. An SEC judge in 2014 found George Jarkesy liable for fraud, ordering him to pay a $300,000 fine and barring him from the securities industry, according to SEC records.
Congress may in some cases assign legal disputes to agency courts, but the SEC’s fraud cases aren’t so special as to justify funneling them into those forums, the judges wrote.
In addition to violating Mr. Jarkesy’s right to a jury trial, Congress was wrong to have delegated power to the SEC to decide whether to prosecute people in the agency’s in-house or federal district courts, the judges wrote. The panel vacated the judgment against Mr. Jarkesy, who managed about $30 million when the SEC began investigating him.
Copy of the opinion (link).
Securities Docket: This is a notable decision that has the potential to be very disruptive to the SEC. Matthew Goldstein of the NYT offers a reminder that "for the moment, the ruling’s impact is limited to federal courts in the court’s jurisdiction, which covers Texas, Louisiana and Mississippi." Keep an eye on this case.
“There is no good news in what happened in markets or to the Terra ecosystem. In Luna and UST alone, $40bn of market value was destroyed in a very short amount of time. Both large and small investors saw profits and wealth vanish. The collapse dented confidence in crypto and DeFi,” said Novogratz in a letter posted on the Galaxy Digital website.
To that end, he has resolved to keep the LUNA tattoo, which he famously had added to his left arm in TK as a reminder.
“My tattoo will be a constant reminder that venture investing requires humility”.
Here is Novogratz's ill-fated Luna tattoo from better times (4 months ago):
I’m officially a Lunatic!!! Thanks @stablekwon And thank you my friends at Smith Street Tattoos.
— Mike Novogratz (@novogratz)
1:17 AM • Jan 5, 2022
‘Pharma bro’ Martin Shkreli released from prison, sent to halfway house
In a statement, the U.S. Bureau of Prisons said Shkreli had been transferred Wednesday from a federal correctional facility in Pennsylvania to a “community confinement” program which is the equivalent of a halfway house. It said his projected release date from federal custody is Sept. 14.
In a Facebook post Wednesday, Shkreli, who became known as “pharma bro” for taking a rare, life-saving drug and raising its price by 5,000 percent, shared a selfie from inside a vehicle.
In other "released early" news, convicted Fyre Festival fraudster Billy McFarland is also now out of prison.
ahahaha cmon legal experts
— Matt Levine (@matt_levine)
5:25 PM • May 18, 2022
Ah yes, the “rebirth” of Terra. Folks, this is Ponziception territory. What could possibly go wrong?
— Concoda (@concodanomics)
5:20 PM • May 18, 2022
Around the Web
Bitcoin Obituaries tracks every time Bitcoin is declared dead or worthless by "a person with a notable following or a site with substantial traffic." The current number of "Bitcoin Obituaries" since 2010 is 449, including 47 times in 2021 and 9 times so far in 2022.
A snapshot: