Sergio Posts Bond As Toxic Code Percolates In Cyberspace And Allows "Market Manipulation"

Tyler Durden's picture

Now Bloomberg is finally on Sergio's case. Cutting to the chase, assistant U.S. Attorney Facciponti has some choice words:

The
bank has raised the possibility that there is a danger that somebody
who knew how to use this program could use it to manipulate markets in
unfair ways,
” Facciponti said. “The copy in Germany is still out there, and we at this time do not know who else has access to it.

The prosecutor added, “Once it is out there, anybody will be able to use this, and their market share will be adversely affected.

The proprietary code lets the firm do “sophisticated,
high-speed and high-volume trades on various stock and commodities
markets,” prosecutors said in court papers. The trades generate “many
millions of dollars” each year
.

Not even going to attempt to elucidate in how many different ways the first sentence above is just...plain wrong. At least it is refreshing that none other than Goldman's own de facto attorney
admits that the firm has created a piece of code that permits "market
manipulation." When Goldman is the perpetrator, the manipulation is conveyed via
"fair ways." And when the manipulator is someone else, the ways become "unfair."

Of
course, Goldman will be happy to know that according to PACER,
Aleynikov has just posted bail and is freely roaming the grounds of
SDNY, EDNY and District of New Jersey, however the "PTS Office shall be
permitted, to the extent possible,
to monitor the deft's use of computer's or other electronic devices at
his home or place of business to ensure that the deft does not access
the data that is the subject of this criminal action." Something tells
me monitoring Sergio's (former) place of business will yield a lot more
clues in the prosecution's gathering of data for criminal action.

Maybe
I am too drunk but... what the hell is going on here? When will Kevin
Mitnick appear stage left and hold the world ransom for one hundred
million dollars after announcing he has hijacked every SPY ETF ever put
in circulation.