The news is out: [Earlier this year, Sen. David Perdue (R-GA) personally directed his wealth advisor to sell off $1 million worth of stock in a financial company before its share price cratered, The New York Times reported on Wednesday—a finding that flies in the face of Perdue’s repeated insistence that he has no input whatsoever over his considerable investment portfolio.
But that appears to not be true. On Wednesday, the Times reported that Perdue was investigated by the Department of Justice as it probed possible insider trading from a number of lawmakers over their investment activity around the coronavirus spread. That investigation found that an executive at an Atlanta-based company called Cardlytics, where Perdue had previously served on the board, mistakenly sent Perdue a vague email in January saying changes were coming to the company.
The Times reported that after receiving that email Perdue contacted Robert Hutchinson, his investment advisor at Goldman Sachs, and directed him to sell more than $1 million worth of stock in Cardlytics, or about 20 percent of his holdings in the company. The FBI obtained a memorialization of that conversation, according to the Times. Weeks later, the company’s stock price bottomed out after an executive shakeup and the announcement of expectations of diminished revenue. The timing of Perdue’s trades shielded him from significant loss.]
It’s called “insider trading”, it’s illegal for everyone except politicians. There is more to this story: [In previous years, as The Daily Beast reported, Perdue acquired stock in a U.S. Navy contractor as he took control of the Senate sub-committee with jurisdiction over the Navy and sold it off as he helped increase the contractor’s business. The senator also bought shares in an Atlanta-based debit card company after pushing to weaken industry regulations, and appeared to time purchases and sales around key events such as a merger, The Daily Beast reported in September.]