Insider Trading at its Finest
Now on Friday after the close RIMM announced that it had settled its patent dispute with NTP for 612.5 million dollars. This was big news and the stock was subsequently bid up by $20. Now here is something that I noticed. On average RIMM trades 5.5 million shares a day. On Friday it traded 8.2 million shares. Now take a look at this graph:
http://finance.yahoo.com/q/bc?s=RIMM&t=1d
Now it looks like there is no volume throughout the day, but if you look closely that is because it is all dwarfed by the 4+ million buy order that came in only a few minutes before the close. Now I would be willing to bet that someone may have know about this settlement just a few minutes before the close and tried to buy as much stock as they could. That person is going to make a lot of money on this trade. But I have to say this person/fund belongs in jail and I really hope this gets investigated because this is just another example of people in the know screwing over the smaller investors. I hate to see this happen but the truth is it happens all the time. I would just love to see a headline about someone going to jail for this, it would truly make me happy.
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