Send News. Want a reply? Read this. More in the FAQ.   News Forum - All Forums - RSS Headlines   RSS Headlines   Twitter   Twitter

Starbreeze Insider Trading Conviction

A report in Swedish has word on the conviction of a former executive of Starbreeze for insider trading (thanks Reddit via VideoGamer). This follows up on the news of the 2018 arrest of this unnamed individual from the financially troubled company. The convicted culprit is reportedly not former Starbreeze CEO Bo Andersson, who was cleared after it was discovered that his bank pressured him into selling his shares ahead of the company's restructuring announcement. It is not clear if this conviction will result in any jail time, but that over $70,000 in ill-gotten gains will have to be repaid to Sweden. Here's the translation of a report from SweClockers:
At the end of 2018, Swedish game developer Starbreeze ended up in financial troubles after a series of unsuccessful investments in, among others, the VR headset Star VR. The company then went into reconstruction, and in conjunction with this, two of the company's then executives became the target of an investigation by the Swedish Economic Crime Authority (EKB).

The reason for the investigation was that the managers had sold shares in the company before the restructuring decision was made. One of the two was the company's then CEO Bo Andersson Klint, who was released from suspicions in 2018. It did not go as well for the other high-ranking executive who's now been convicted, reports Dagens Industri (paywall).

Chief prosecutor Thomas Langrot noted in his original indictment that this kind of insider crime is extra serious when carried out by a board level executive. The final punishment is probation and a fine. The amount of the fine is equal to the profit achieved through the crime, which is stated to be SEK 700,000 (USD 72 678) and is due to the Swedish state.
View
6 Replies. 1 pages. Viewing page 1.
< Newer [ 1 ] Older >


6. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 14:50 MattyC
 
According to Swedish law, the punishment equates to the to the profit generated through the crime, which is said to be more than $70,000.

...this kind of insider crime is extra serious ... The final punishment is probation and a fine.


Newidea Note to self, start vast insider trading cartel in Sweden...
 
Avatar 39012
 



I'm like the man who single-handedly built the rocket and went to the moon. What was his name? Apollo Creed?
Reply Quote Edit Delete Report
 

5. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 14:44 Cutter
 
Prez wrote on Feb 13, 2020, 11:06:
How does your bank 'pressure' you into selling your shares? Maybe things are different in Sweden?

Also, this seems wrong:

According to Swedish law, the punishment equates to the to the profit generated through the crime, which is said to be more than $70,000.

It seems the punishment should amount to more than just giving back exactly what you stole.

Exactly. What's the disincentive if you only have to pay back what you stole? Not only should you have to bay back the debt with a minimum 100% fine over and above - I'd say more like 300% would be fair - but all court and legal costs too. And no jail time? Again, no. That should be a minimum 2 years in a minimum security prison.

 
Avatar 25394
 



"Don't get drawn into the culture, Morty. Stealing stuff is about the stuff, not the stealing."
Reply Quote Edit Delete Report
 

4. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 13:42 Parallax Abstraction
 
Prez wrote on Feb 13, 2020, 11:06:
How does your bank 'pressure' you into selling your shares? Maybe things are different in Sweden?

I don't know the circumstances of the person's finances but if you are in major debt personally, I imagine the bank can force you to sell assets to pay them back if you want to avoid bankruptcy or going to court and stock in a company is a financial asset. They might have told him "Sell your shares to pay us back. No, it's totally fine and not illegal."

This comment was edited on Feb 13, 2020, 15:56.
 



Parallax Abstraction
Podcast | YouTube | Mixer
Reply Quote Edit Delete Report
 

3. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 12:58 wtf_man
 
Prez wrote on Feb 13, 2020, 11:06:
How does your bank 'pressure' you into selling your shares? Maybe things are different in Sweden?

Only thing I can think of would be some sort of debt owed to he bank and they wanted their money?

Prez wrote on Feb 13, 2020, 11:06:
Also, this seems wrong:

According to Swedish law, the punishment equates to the to the profit generated through the crime, which is said to be more than $70,000.

It seems the punishment should amount to more than just giving back exactly what you stole.

They are talking about 2 different people... one that appears to have gotten off scott free.. the other one was convicted. I think the one that was convicted was the only person that had to pay the $70k. He got "probation"... so it looks like the Fine is more of it being "restitution and probation" than a fine and jail time.

That's the way I'm reading that.
 
Avatar 19499
 



Get your games from GOG DAMMIT!
Reply Quote Edit Delete Report
 

2. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 12:49 eRe4s3r
 
Prez wrote on Feb 13, 2020, 11:06:
How does your bank 'pressure' you into selling your shares? Maybe things are different in Sweden?

Also, this seems wrong:

According to Swedish law, the punishment equates to the to the profit generated through the crime, which is said to be more than $70,000.

It seems the punishment should amount to more than just giving back exactly what you stole.

In Swedish law, you can also be sued for a crime that you didn't commit that the supposed victims tell the police didn't happen and then they let you sit for nearly 10 years without a hearing somewhere in legal limbo and then, when you finally get your lawyer through to sue them back, they magically cease the process with zero punishment to the people who did it. Only even called out after an UN anti torture specialist investigates the country.

And yes, I am talking about Assange. ^^

Sweden is not a country where "law" means anything.
 
Avatar 54727
 
Reply Quote Edit Delete Report
 

1. Re: Starbreeze Insider Trading Conviction Feb 13, 2020, 11:06 Prez
 
How does your bank 'pressure' you into selling your shares? Maybe things are different in Sweden?

Also, this seems wrong:

According to Swedish law, the punishment equates to the to the profit generated through the crime, which is said to be more than $70,000.

It seems the punishment should amount to more than just giving back exactly what you stole.
 
Avatar 17185
 



“The greatness of a nation and its moral progress can be judged by the way its animals are treated.”
- Mahatma Gandhi
Reply Quote Edit Delete Report
 
6 Replies. 1 pages. Viewing page 1.
< Newer [ 1 ] Older >