Jonathan Lebed
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| Jonathan Lebed | |
|---|---|
| Born | September 29, 1984 |
| Nationality | United States |
Jonathan Lebed (born September 29, 1984) is an American notorious for using the internet for a stock market scam.
Between September 1999 and February 2000 Lebed made hundreds of thousands of dollars by posting in internet chat rooms and on message boards encouraging people to buy penny stocks he already owned, thus, according to the SEC, artificially raising the price of the stock. The SEC under Arthur Levitt prosecuted him. In 2001 Lebed and the SEC negotiated an out-of-court settlement in which Lebed forfeited $285,000 in profit and interest he had made on 11 trades without admitting any wrongdoing — allowing him to keep close to half a million dollars.
The case was controversial — the SEC had never prosecuted a minor — and produced significant media interest. Lebed contended that his activity forecasting stock prices was no different from and no more illegal than what professional Wall Street analysts do every day, only he utilized the internet. Despite the negative press and SEC inquiry, Lebed continues to trade actively. He also sells his trading advice through a newsletter.
Lebed was profiled in an episode of the 2001 BBC futurism documentary The Future Just Happened.[1]
[edit] References
[edit] Further reading
- Lewis, Michael (February 25, 2001), "Jonathan Lebed: Stock Manipulator, S.E.C. Nemesis -- and 15", New York Times, http://www.nytimes.com/2001/02/25/magazine/25STOCK-TRADER.html
