Economics and the mid-life crisis have much in common: Both dwell on foregone opportunities

C'est la vie; c'est la guerre; c'est la pomme de terre . . . . . . . . . . . . . email: jpalmer at uwo dot ca

. . . . . . . . . . .Richard Posner should be awarded the next Nobel Prize in Economics . . . . . . . . . . . .

Tuesday, January 04, 2005

Will They Serve More Time Than Martha Stewart Did?

Krispy Kreme Donuts is under investigation for both fraud and insider trading:

The suit alleges that between January 2003 and last May, when Krispy Kreme issued a profit warning, ``the company issued false and misleading statements, including false financial results'' and ``repeatedly ratcheted upward its public quarterly and fiscal year revenue and earning projections ... all in the face of slowing sales and market saturation.''

At the same time, three top officers named in the lawsuit - chief executive officer Scott Livengood, former chief operating officer John W. Tate and former chief financial officer Randy S. Casstevens - ``unloaded more than 475,000 shares of Krispy Kreme stock for proceeds of $19.8 million,'' the suit charges.

I'm betting that the officers charged in this case, if found guilty, will serve less time than Martha Stewart does. Why might that happen?
[thanks to Ben for the pointer;
his comment: "KK Cooks the Books (and uses lots of grease)"]
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