Ban Elected Officials from Trading Stocks
There have been abuses of power and knowledge when it comes to stock trading for far too long and this is not a partisan issue. There are many people related to both parties who have been suspected of, or found guilty of, insider trading or the like. This must stop!
5-Calls has put together a fantastic path to connecting with your representatives about this issue, and the link is at the bottom of this page.
However, there are other issues to tackle which are not spelled out in their posting and we urge you to consider these before you take action.
Here are the facts:
· There are several propositions regarding this issue.
· The language in these differs greatly and in some, the president, vice president, cabinet members and their spouses and children are exempted.
· There is also a proposal that this does not apply to individuals until their next term.
· There are no mechanisms for ensuring compliance, only penalties if someone is caught.
· There are no criminal penalties laid out as potential options for enforcement.
This is not enough! All individuals in government with insider knowledge must be bound by these agreements and any such legislation must take effect promptly. There are other items which need to be addressed at the same time, and failure to do so makes it unlikely any such legislation will have teeth.
These items are ones we believe must be included in such legislation:
· All covered individuals can and will be randomly audited by an outside auditor to guarantee compliance.
· All tax returns of elected officials must also be available for auditing purposes.
· Failure to comply with auditors is grounds for an immediate suspension of duties and impeachment.
· There also must be criminal penalties available as forms of enforcement.
The effects of this type of trading with insider knowledge includes the following:
· It disadvantages investors who operate without such insider knowledge.
· It can increase market volatility due to the visibility some have of these transactions.
· Resulting market volatility can negatively impact normal investors.
· Such opportunity can also lead to corrupting policy decisions for personal gain.
Abuses of knowledge and power have lasting effects which effect all of us. It is time to take action and ensure that those who would take advantage of their positions at the expense of everyday Americans be held accountable.
