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Flash Crash Scapegoat Nav Sarao Complained More Than 100 Times About The Real Market Manipulators
Several weeks ago, when the CFTC and DOJ's laughable attempt to scapegoat the May 2010 flash crash on the actions of a live-in-his-parents-basement UK trader, we explained "Why Sarao Is The Flash Crash Patsy: He Threatened To Expose The "Mass Manipulation Of High Frequency Nerds."
It now turns out that he not only threatened to expose the real market manipulators, but he acctually did it. More than 100 times.
Navinder Singh Sarao, the trader arrested last month on U.S. charges he manipulated futures prices and contributed to the May 2010 “flash crash,” leveled claims of similar misconduct against other traders before his arrest.
Mr. Sarao complained to the Chicago Mercantile Exchange, where he traded futures contracts, more than 100 times over the past several years about traders he believed were engaging in manipulative conduct, people familiar with the matter said.
His last complaint came just weeks before he was arrested on Justice Department charges, one of the people said.
Who are the real manipulators, we ask rhetorically:
Previously released documents have shown Mr. Sarao urging exchanges to target high-frequency trading practices he viewed as manipulative, but the frequency and extent of his complaints weren’t known. His complaints underscore the extent to which Mr. Sarao viewed his own trading as a legitimate counter to other high-speed traders.
Mr. Sarao appears to have filed an unusually large volume of complaints. “That would be considered a high number,” said Ray Cahnman, a longtime futures trader and chairman of the proprietary trading firm Transmarket Group LLC. “Most people would break down before they get to 100 because they realize the complaints aren’t going anywhere,” he said.
Sarao's complaints got him somewhere: straight to prison. And now we know why.
As for Sarao's complaints going anywhere else: fear not, they will - just as soon as the market crashes. Because not only will the next market crash be epic, it will be blamed entirely on the same HFTs that for the past 7 years worked in tandem with the central banks - the source of all capital misallocation decisions - in the creation of the biggest asset bubble of all time.
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Notice the only "bad actors' they go after in the financial industry happen to be the brown skinned ones?
Another big target is on the back of whistle-blowers.
"It now turns out that he not only threatened to expose the real market manipulators, but he acctually did it. More than 100 times."
Well there's your problem. High frequency whistleblowing.
Agreed. If he had just done it and not said anything, he wouldn't be in trouble right now. They're gonna burn this kid to the ground.
Reading his comments, he's right on the money. He's pointed out exactly what they are doing and how wrong it is. That, of course, isn't what they want to hear. He isn't doing anything they aren't doing, except maybe his efforts to prove a theory ran too far and in totally the wrong direction. If he had run the numbers green and then let them fall back, he wouldn't be in trouble. Of course, continuing to complain made it impossible for them to ignore. Although the media circus is simply exposing how right he is.
I'm not a praying man but GODDAMN do we need a Carrington event, will hurt like hell
May vision prevail
Let us pray. Amen.
Nav Sarao seems to be an extremely bright kid, perhaps worth getting behind.
If there is a legal defense fund, I'm in.
Watch for the sunspots to form a happy face emoji. Of course if that actually happens and preceeds a Carrington event, I may become religious.
At least this kid had enough balls to call out the game and then play his hand back...
Respect.
Hype Alert,
Excellent! HFW!
DavidC
Learn to respect your Masters!!!
Welcome to the ZWO, where the whistleblowers go to jail or live in exile while the criminals running the place along with their CFTC/SEC bag men operate above all laws.
"In the Land of Lies, Truth is Treason."
--Some dude that should have been elected POTUS.
LoP. But originally, George Orwell. "1984"
Orwell had so many things right. http://en.wikipedia.org/wiki/George_Orwell
Navinder now regrets swimming with the sharks.
More like, wallowing with the pigs
Someone should open a GoFundMe for his legal defense.
Anyone who has the persistence to document over 100 instances of allegedly illegal trading practices is more than a match for the "Just Us" thugs provided he can stay alive.
Zerohedge has probably documented more than that. But its kind of like the whole "if a tree falls in the forest, and no one is there to hear it, did it make a sound" kind of thing. All of his complaints fell on deaf(or complicent) ears, just like ZH can document it all they want, but those in a position to do anything about it, don't because they are either ignorant, or allow it to happen and don't want it brought out into the open.
"If a tin foil hat fringe blog documents fraud and manipulation, but no one reads it, did the article get written?"
#INDIANLIVESMATTER
#bringbackmyindian
Raycist downvoters
Stock markets are functioning perfectly. Don't lose confidence people.
Come on in; The water is just fine!
Complaining gets you nowhere except into prison. Got it TPTB. Then you have these assclowns telling you into your face that we are a free society that's worth fighting for and protecting at all costs. Loot and pillage as much as you can and fuck everyone else. That's how family fortunes were built and that's the only way to survive long term.
Then we have the millions of imbeciles who believe we live in a free country. <<<<-----They deserve to be looted and pillaged.
Well, the justice system has already crashed. Still waiting for Wall Street Judgement Day.
I bet Martha Stewart put him up to it. That con artist cooking bitch.
New Order Type designed for INVESTORS not HFT http://www.tradersmagazine.com/news/ecns_and_exchanges/chicago-stock-exchange-announces-on-demand-snap-auctions-113849-1.html
The only whistle blower who they never went after , seems to be the Madoff guy, Harry Markolpolis.....I guess if Madoff didn't fold, they would have got him too.
Yeh... it only took them 8 years and a $ 3 billion loss to uncover suspected exprise
Call Sourpuss and GandyGoose
Remember: They waited until five days remained on the statute of limitations to charge him not because it took that much time to put the case together - but because that guaranteed the statutue would run without anyone else being charged. No matter how high it went, no one else could be held responsible.
Mark my words: The agencies involved will apologize in the future for their inability to issue further charges, using as an excuse that the statutue has run. No one's fault, just the passage of time.
Interesting and insightful thought.
Thanks, +10 for an excellent viewpoint.
This. He had the proof, they knew it and arrested him so that he couldn't get it out in time for charges against the real perps. This guys trial will be like Aleskynov (sic), where its just a circus to drain him of any wealth he has and to hide the real villans crimes. Nothing will change til people wake up, yank the fucking villans from their homes, and hang the perps from telephone poles. Til then, it'll be business as usual.
“Why Sarao is the Flash Crash Patsy: He Threatened to Expose the “Mass Manipulation of High Frequency Nerds.”
Get used to it guys.
As long as there are no functioning First-Amendment assemblies, those who ask too many questions, describe too many official crimes, show a trace of intelligence or sense of justice will suffer at the hands of government-protected cutthroats and thieves.
My advice to those who would expose official crimes: make plenty of copies (anonymously), keep your mouth shut and your keyboard restricted to bland issues… until you have made arrangements with such an assembly for protection.
You see, those who aren’t willing to protect or aid you for the truth you tell simply aren’t worth saving.
+42. Which is why everyone needs to make their own "Nuremberg Files" (N-Files), for when these Usurpers and Traitors are tried.
See the trend here.
Blow the whistle on CIA torture - prison.
Write a article about government lies and cover-ups - ridicule, ostracization - or worse.
Rat on financial games - prison and loss of a method of earn a living.
In Amerika, if you stand up for something you will be cut down.
It really should be the last nail in the coffin that confirms that everything is corrupted.
The law is selectively enforced, same as it ever was.
"A History of Crime - Histroy of US Financial Policy for the last 3 Decades" - Need help with my new novel title, please help out as this title may not be obvious enough...
"Chicago-Capone-20's----Tel Aviv/D.C 1948." Milestones
Does it appear to anybody else as if the rate of unusual incidents of visible corruption are increasing very quickly?
Exponential blow-off? Circling the drain? Or just my tin-hat imagination?
You are perectly fine, shit is going south, fast.
By design.
Un-inhabited places report "A-OK".
Humans in their current avaatar ar the problem.
Especially city humans...
+ 1 sigma (or rather what stood for 1 sigma) was defined very long ago.
We will in a 6-sigma world by outdated/moded definitions...
Poor bastard. Didn't realize that he was living in a new world.
Is Bart Chilton brown or orange?
Orange. Agent Orange.
Actually, if the tpb have their way, he'd be agent orange jumpsuit...
This is sad. Seriously, what would be the best way to help this guy?
I agree mms....doe3s he need a defense fund....or a " who is John Galt?" campaign....any ideas?
File complaints. <100, of course, to be on the safe side.
ANSWER - Publicize!! Speak Out!! The TRUTH still hurts!!!
Squeaky wheels get greased, bitchez.......
Long Pitchfork Futures
you got THAT exactly right!!!
All we need now is for some Danny Casolaro-type to connect the dots without getting smoked in the process.
Talk about "Keepin Yo Pimp Hand Strong"! Break like 50 laws and then get the guy who turned you in arrested. That is serious game. If I wasn't so disgusted, I would be impressed.
I think that was his real mistake. I mean, what else could they do?
Sucks to be him....
The difference is that Sarao is not TBTJ.
YES he's a scapegoat. BUT if he hires a smart barrister (lawyer), he might walk. It is NOT going to be easy for them to convict him! And furthermore, ll the dirty laundry of that market will be exposed during the trial.
I BET you they settle this out-of-court.
But the truth is - Sarao shouldn't be paying a dime to them. He has NOT done anything wrong. Spoofing .. YES!! Illegal ... NO!!!
It's going to be interesting to see who and what they expose during discovery. Beer and popcorn ready.
There's nothing like lyin' cheatin' and stealin' at speeds approaching the speed-of-light.
Nav Sarao spoke out repeatedly about illegal activities to authorities who in desperation had to stitch him up and jail him to shut him the F$$K up.
High frequency complaining; the new scourge
Why did U.S. prosecutors and regulators file criminal and civil charges against British resident trader Navinder Singh Sarao for manipulating markets, but regulated Citigroup JPMorgan and UBS traders that rigged forex markets got to keep their million-dollar bonus checks while their shareholders got fined $6B?