SEC Halts Pursuit of Subpoena for Records.

Source AP News via LasVegasSun.com

It's a great day when big government through the S.E.C. stops a subpoena from going through, alleging insider-trading between research firm, Gradient Analytics, and hedge fund in question.

The crime: Gradient Analytics issued negative reports on the retailer in exchange for payments from a hedge fund seeking to profit from a drop in its stock price.

WASHINGTON (AP)--The Securities and Exchange Commission is taking the unusual step of halting pursuit of a subpoena for records from two journalists until the agency considers the matter, SEC Chairman Christopher Cox said Monday.

Underscoring the sensitivity of the issue, Cox said in a statement that neither he nor the SEC's general counsel or any of the other four SEC commissioners had been informed or consulted regarding "such an extraordinary step" before news reports appeared on it over the weekend.

Normally, SEC enforcement attorneys issue subpoenas in an investigation without specific approval by the commissioners, who approve only the overall investigations.

The issue of subpoenaing journalists will be considered by the five SEC commissioners "before this matter proceeds further," Cox said.

The victim in this obvious attempt at killing this and providing a glistening cover-up is one Overstock.com.

Some very public examples from the past:

Make an example out of Martha Stewart.

Charles F. Fogarty's purchase of Texas Gulf Sulphur shares during 1963 and 1964.

I guess this one flies under the radar. Political donations are money well-spent for some obvious white collar criminals.