Monday, March 29, 2010

Moffat Pleads Guilty

With his guilty plea today in the Galleon insider trading case, Bob Moffat now faces up to six months in jail.

According to the New York Times, Moffat admitted to providing material non-public information to Danielle Chiesi, consultant at Bear Stearns, about AMD, Lenovo, and IBM. In his statement today in court, Moffat said that he knew what he did was wrong. He also acknowledged that he breached his duty of confidentiality with IBM. Moffat is not cooperating with the prosecution.

A hearing is schedule for July 26th.

What's the verdict here? Has justice been served?

4 comments:

Linda Pelekoudas said...

I have no sympathy for Bob. And I trust that justice will be served. That is not the same as preferring an outcome.

These types of issues, however, represent all that has made IBM not the company I worked for. That company does not exist anymore. The people exist and they are looking for ways to find the customers that depended on their integrity and expertise. One way that is being achieved is through start-ups like Strategy and Design Solutions.

At SDS we don't spend much of our days thinking about what might have been. We have morals and value integrity. I don't think for a minute that we are the types of people that IBM would have selected as executives. But with Bob as a typical example, I personally proud to not be counted among the likes of him.

What we do spend time on is thinking about ways to better organize the many still unemployed professionals and how to offer integrated teams to client that would like to spend more time on how to improve business and less time worrying about politics or corruption practices.

I am happy to answer any questions about how SDS might be able to help workers or clients. Please find us at strategydesign-corp.com.

And as for Bob and those like him. It is very important to remember that you will reap what you sow.

Regards, Linda

Anonymous said...

Moffat will likely serve 6 months or less in jail. But his true punishment lies in the embarrassment within his family and community, and the loss of a promising career that abruptly ended late in 2009.

Moffat showed serious lapses in judgment, and given Chiesi is known to have used her "skills" to obtain information from other susceptible men, there's probably much more to this story than has been publicly disclosed.

Anonymous said...

Call me cynical but I'm still searching for the incentive. What was the payback - in cash or kind? Could he really have just slipped up numerous times and provided all this information?

Colette said...

It's hard to say for sure what the motivation was. That's the question we've all been asking. The prior anonymous poster alluded to one possible answer. I suspect we will never know the full story.