Jesse Eisinger of the Wall Street Journal chimed in with outrage over the underhanded tactics apparently being employed by Biovail's attorneys, in seeking to ensure that none of the folks named in their suit destroyed information. Apparently he is shocked, shocked, I tell you, that a NY-based law firm would employ such ugly tactics as securing an analyst's garbage, and following people. Here is some of his acrimonious column:
"The Real Sith Lord
Reading about the intimidation tactics apparently employed by
Biovail Inc. in its lawsuit against independent research firm Gradient Analytics and several hedge funds in the New York Post today, famous short-seller Jim Chanos took a trip down memory lane. He wrote an email that found its way into the Wall Street Journal's hands: "This is a worrisome trend. As some of you may remember, Kynikos [Mr. Chanos's hedge fund] went through similar treatment in the mid-late '80s, thanks to a certain junk-bond king's unhappiness with our investment conclusions on ....Public companies, using shareholders' money, to silence legitimate criticism of managements' actions, results and behavior, is something the hedge-fund industry needs to stand-up and fight against....."
Apparently Mr. Eisinger's delicate sensibilities echo those of a short seller, whose email "happened" to make its way into his hands.
I wonder if that is the same way NCANS bank records and cell phone bills "happened" to find their way into Mr. Eisinger's hands last year, when he was researching who the Easter Bunny really is?
And you all remember, surely, how Eisinger was cited for trespassing and was thrown off the private gated retirement community, that he had sneaked into in order to question septuagenarians and geriatrics?
Apparently when the PIs haul off an analyst's trash to ensure that he isn't shredding incriminating evidence, that is bad.
Huh.
For those that have difficulty understanding all the nuances, i.e. aren't sophisticated enough to comprehend all the layers of subtlety, I have prepared a sophomoric graphical depiction of the NY Press' moral barometer for outrage:
BAD
GOOD
GOOD
GOOD
How refreshing that Mr. Eisinger can muster the sort of outrage that he has over Biovail's conduct, when he is held to such rigid and higher standards himself.
Mr. Eisinger is quite a gadfly of outrage and indignation - he's had a busy few days. He was also on CNBC this week bashing OSTK.
Apparently he is quite sought after for commentary when he isn't playing poker with a group of hedge fund managers he's buddies with.
Small world.
Thank you, NY press corps, again, for showing us that hypocrisy is alive and well.
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In other news, I was struck by the recent statements by the Lapdog as to how he really was serving the same function as the SEC, in exposing fraud.
Huh.
Where have I heard that before?
Oh, that's right, from Jim Cramer! Something about he is just trying to help investors get out of bad stocks, you know, on account of how altruistic he is. No, but there's somewhere else, too....
Wait. I know! Here's what I'm thinking of:
"In the defence's sentencing memorandum Mr. Elgindy was portrayed as something of a "crusader for propriety in the marketplace," helping the SEC and law enforcement officials bring securities fraudsters to justice."
That would be from an article about the pending sentencing of convicted stock manipulator, liar, cheat, and racketeering scumbag Anthony Elgindy - another, "Victim of the man." Even as he sits awaiting sentencing, this dirtball is insisting that it is all a big mistake, and that he has been unfairly persecuted. There seems to be a lot of that going around. Consider the following account of how he actually behaved versus his claims:
"On April 17, 2004, two days earlier than a travel date he had given to his pretrial services supervising officer, Mr. Elgindy tried to board a plane from MacArthur Airport on Long Island using fake identification in the name of "Herbert Manny Velasco."
His destination was Phoenix, with a connecting flight to San Diego. He apparently purchased his ticket with a coupon issued in the name of yet another person, "Richard Hatch."
Among other things, Mr. Elgindy had approximately $25,000 in cash; $30,000 to $40,000 in jewelry; various prescription narcotics; a Montana identification card in the name of Herbert Manny Velasco; an expired California identification card in the name of Heriberto M. Velasco; blank cheques for a bank account belonging to his mother; and blank cheques for an account he had created showing himself as a resident of Lebanon.
Mr. Elgindy also carried a Costco card and Sam's Club card in the name of Herbert Velasco, had air flight coupons issued in a number of different names and cellphones subscribed in the name of Joseph Torelli and Hisham Sadek.
When Mr. Elgindy was questioned by airport security, he falsely maintained that he was a jewelry dealer named Manny Velasco.
"When asked the identity of Amr Elgindy, whose name appeared on various documents and prescriptions in the defendant's possession, the defendant claimed Elgindy was his lawyer," the prosecution notes. "It was not until officials discovered a California driver's license bearing the defendant's photograph that he belatedly admitted his true identity."
Mr. Elgindy's bail was revoked, he was tossed back in jail and he later pled guilty to lying to federal officials in connection with the peculiar airport incident.
Yeah, there are a lot of victims of unfair persecution on Wall Street. I'm sure that it is pure coincidence that the lapdog and the bombastic wonder are both using the same line about their being good for the market, and keeping it honest by exposing fraud. You know, kind of a mini-SEC.
I'm quite sure that they didn't notice how that went over with the Elgindy jury. But perhaps at some point they will.
End of story.