Sunday’s edition of 60 Minutes exposed the insider trading practices of Congress, where politicians buy and sell stocks based on non-public information only available to them. A bit of an uproar has developed, and when there’s a political corruption scandal, you can bet that Jim Moran is involved in it and usually be right.
Author Peter Schweizer’s book Throw Them All Out, which was spotlighted in 60 Minutes, alleges that members of Congress from both parties have engaged in insider trading, most notably in 2008 just before the financial crisis hit.
Schweizer reports that on September 16, 2008, Secretary of the Treasury Henry Paulson and Federal Reserve Chairman Ben Bernanke held a “terrifying” closed-door classified meeting with members of Congress briefing them that a worldwide financial crisis was about to hit. The next day, Moran went wild with his portfolio, writes Schweizer:
“The next day Congressman Jim Moran, Democrat of Virginia, a member of the Appropriations Committee, dumped his shares in ninety different companies . . . [his] most active trading day of the year. He dumped shares in Goldman Sachs, General Dynamics, Franklin Resources, Flowserve Corporation, Ecolabs, Edison International, Electronic Arts, DirecTV, Conoco, Procter & Gamble, AT&T, Apple, CVS, Cisco, Chubb, and a dozen more companies.”
In fact, Moran made over 90 trades in that one day.
The 60 Minutes piece pointed out the fact that insider trading, probably one of the worst forms of corruption that a member of Congress can do, is not illegal because the people who could make it illegal are the members of Congress who do it.
While the economy was tanking and people were losing huge amounts of money in the markets, Jim Moran was protecting his money and emerged just fine. This is disgusting. He is lining his pockets while claiming to be working for the people of the 8th District.