what did....

Martha Stewart do???? I saw on cnn the big Martha Steward trial but what is it? I'm so out of whack here over..... I'm really curious now...anyone know?

[migirl]

She allegedly received a inside tip that was going to cause the price of some stock that she held to go down, so she ordered the sale of all of her stock based on that information. Then, when federal investigators questioned her about it she allegedly lied and tried to cover it up. It was kind of odd that she was ultimately charged with (and found guilty of) lying about something (insider trading) which she was not actually charged with.

Anyway, I know hindsight is 20/20 but the value of the stock that she sold was something like 0.06% of her personal net worth. Hardly enough to risk going to prison and ruining your reputation and company...

I think they were just trying to make an example of her to show how hard they're going to crack down on white-collar crimes like this. IMO, the only thing she was really guilty of was being greedy with her own money while Kenneth Lay et al ruined thousands of people's lives and robbed them of their retirements and financial security. Why is he still walking around a free man?

Just my $0.02.

[Auspicious]

It's been a pretty repulsive media frenzy here--I'm sure if you google "Martha Stewart" you'll learn more about it than you ever hoped to know.

NEW YORK (AFP) - Multi-millionaire lifestyle guru Martha Stewart (news - web sites) was found guilty of obstructing a federal inquiry into a suspicious stock sale, leaving her facing a possible prison sentence.


Stewart, 62, was convicted on charges of conspiracy, obstruction of justice and two counts of making false statements to federal investigators. Each charge carries a maximum sentence of five years in jail.


In a letter posted on her website immediately after the verdict, Stewart continued to protest her innocence and said she would appeal.


Stewart's stockbroker, Peter Bacanovic, was found guilty on the same counts, but cleared of a separate charge of making false documents.


The jury of eight women and four men took a little over two days to reach their verdict. Neither defendant showed any real emotion when the verdicts were read, although Stewart's daughter Alexis broke down in tears.


A stony-faced Stewart walked out of the courtroom and left in a car without speaking to reporters.


US District Judge Miriam Cederbaum set sentencing for June 17. Although the charges allow for a total 20-year sentence, legal experts have suggested a likely sentence of between one and three years.


The charges against Stewart stemmed from the trade she made a day before ImClone, the biotechnology company then run by her friend Samuel Waksal, announced news that made the share price plunge.


Prosecutors said Stewart received an improper tip that federal regulators would not approve ImClone's anti-cancer drug, Erbitux.


Her defence argued she had a prior arrangement to sell her ImClone stock should the share price dip below a certain point.


Waksal is currently serving a seven-year prison term after pleading guilty to securities fraud and other charges.


"I am obviously distressed by the jury's verdict, but I continue to take comfort in knowing that I have done nothing wrong," Stewart said on her website, http://www.marthatalks.com.


"I will appeal the verdict and continue to fight to clear my name ... I remain confident that I will ultimately prevail," she said, thanking her friends and supporters,


Stewart's fans had criticised the prosecution of their idol, saying she was being unfairly targetted because of her celebrity.


US Attorney David Kelly rejected the depiction of Stewart as a victim.


"The victims in this case are the entire American public who rely on the integrity of our system to make sure that justice is done and that they can invest their money safely and securely," Kelly told reporters outside the court.


"We do cases each and every day. We do large ones, we do small ones," he said, insisting that Stewart was treated the same as any other defendant.





"It is very important for us to protect the integrity of this system .... failure to do so results in a flood of corruption that infects our entire markets, our entire society," Kelly added.

Juror Chappell Hartridge told reporters the jury had been "quickly convinced" of Stewart's guilt, largely due to her "inconsistent story."

Stewart became the queen of home decor and amassed a fortune as the head of her own company, Martha Stewart Living Omnimedia, which stamped her style on everything from magazines and recipes to bed linen and bath towels.

She stepped down as chief executive after she was indicted.

Omnimedia shares plunged 3.02 dollars or 21.5 percent to 11.01 dollars when they resumed trade after being halted while the verdict was given.

"We are deeply saddened by the news of Martha Stewart's conviction," Omnimedia said in a statement, adding that the board of directors would meet to evaluate the situation and "take actions as appropriate."

Thomas Ajamie, a Houston lawyer specializing in securities fraud cases, told AFP that Stewart was likely to get some jail time.

"There seems to be some popular sentiment that she 'only lied,' but federal judges don't look kindly on those who lie to federal agents ... They take it very seriously," Ajamie said.