LIZ: INSIDER TRADING ALLEGATIONS
AGAINST SENATORS BURR, LOEFFLER
AND FEINSTEIN ARE HEATING UP.
RICHARD BURR, THAT’S LOEFFLER,
BUT RICHARD BURR, REPUBLICAN
FROM NORTH CAROLINA, HAS STEPPED
DOWN TEMPORARILY AS CHAIRMAN OF
THE SENATE INTELLIGENCE
COMMITTEE, AS THE FBI LAUNCHES A
CRIMINAL INVESTIGATION
CONFISCATING HIS CELL PHONE IN
RELATION TO ALLEGED INSIDER
SELLING OF STOCKS AHEAD OF THE
GOVERNMENT PUTTING OUT THE WORST
NEWS ABOUT CORONAVIRUS.
BUT ONE SENATOR IS FIGHTING
BACK.
CHARLIE GASPARINO HAS THAT BUT
ALSO THE STORY OF THE DAY,
CHARLIE, WHICH IS OF COURSE,
GOLDMAN SACHS AND YOU BROKE IT
ON MY SHOW YESTERDAY.
GIVE ME SCOOP ON BOTH OF THESE
STORIES.
CHARLIE: LET’S START WITH
LOEFFLER BECAUSE THE GOLDMAN
SACHS STORY WHICH DID MOVE THE
MARKETS ABOUT 600 POINTS, WE
REPORTED IT LAST NIGHT, YOU
KNOW, MAJOR WRITE-THROUGH ON IT
ON FOX BUSINESS.COM THIS
MORNING, HIT ON IT ON CAVUTO AND
IT MOVED STOCKS UP AGAIN.
BUT I WANT TO HIT ON THIS FIRST
BECAUSE THIS KELLY LOEFFLER
INSIDER TRADING STORY,
PERSONALLY, AS SOMEONE WHO KNOWS
A LOT ABOUT INSIDER TRADING, I
FEEL BADLY FOR HER THAT SHE’S
CAUGHT IN THIS.
WHAT SHE DID BASED ON EVERY FACT
THAT I KNOW AND I’M USUALLY --
IT’S NOT INSIDER TRADING.
IT’S NOT.
SHE DID NOT GET INFORMATION ON
THE COMPANY, SHE GOT A SENATE
BRIEFING, STUFF THAT A LOT OF IT
WAS OUT THERE ABOUT THE
CORONAVIRUS AND THEN SHE SOLD
STOCKS.
I JUST DON’T SEE THE INSIDER
TRADING CHARGE THERE.
BUT THIS WHOLE ISSUE IS
CONTINUING TO HAUNT HER.
IT’S HURTING HER CAMPAIGN, IT’S
HEATING UP, AS YOU KNOW RICHARD
BURR, THE OTHER SENATOR INVOLVED
IN SELLING STOCKS EARLY.
YOU KNOW, HE GAVE UP,
TEMPORARILY GAVE UP HIS
POSITION, I BELIEVE, ON THE
INTELLIGENCE COMMITTEE.
HE’S NOT RESIGNING FROM CONGRESS
JUST YET.
THEY ALL DENY THAT THEY HAVE
DONE ANYTHING WRONG BUT IT’S
DEFINITELY HURTING THEM.
HERE’S WHAT WE KNOW.
OFFICIALS FOR BOTH LOEFFLER AND
HER HUSBAND, REMEMBER, HER
HUSBAND IS THE HEAD OF THE NEW
YORK STOCK EXCHANGE, THE
CHAIRMAN OF IT, JEFF SPRECKER
WHO BASICALLY OWNS THE HOLDING
COMPANY FOR THE NEW YORK STOCK
EXCHANGE KNOWN AS THE
INTERCONTINENTAL EXCHANGE, THAT
PRESS OFFICIALS FOR BOTH WON’T
SAY IF THEY HAVE RECEIVED ANY
SORT OF CONTACT FROM THE DOJ AND
S.E.C. AND WE DO KNOW THE DOJ
AND S.E.C. IS LOOKING AT IT SO
JUST THE WHIFF OF THIS COULD
REALLY HURT PEOPLE, AND I AM
TELLING YOU, LIZ, THE FACTS
DON’T SHOW MUCH INSIDER TRADING
HERE.
THAT SAID, THERE’S OBVIOUSLY AN
INVESTIGATION.
WE SHOULD POINT OUT THAT
LOEFFLER TELLS FOX BUSINESS
WHILE SHE WON’T COMMENT ON
WHETHER SHE’S BEEN CONTACTED BY
THE S.E.C. OR DOJ, LOOKING AT
THESE CONGRESSIONAL STOCK SALES,
SHE DOES TELL FOX BUSINESS SHE
HASN’T RECEIVED A SEARCH
WARRANT.
I BELIEVE MR. BURR HAS RECEIVED
A SEARCH WARRANT TO SEE THE
ELECTRONIC COMMUNICATIONS HE
MADE PRIOR TO STOCK SALES, AFTER
HIS STOCK SALES, TO TRY TO
CREATE A -- SHOW A PATTERN OF
WHETHER HE MIGHT HAVE COMMITTED
INSIDER TRADING OR DONE
SOMETHING ILLEGAL.
AGAIN, LOEFFLER’S PEOPLE TELL ME
SHE HASN’T RECEIVED THAT AND
WHAT WE HAVE REPORTED EARLIER IN
THE WEEK, AS YOU KNOW, I THINK
EXCLUSIVELY ON YOUR SHOW, IS
THAT SHE IS THINKING ABOUT GOING
TO THE S.E.C. AND SAYING HERE’S
THE EVIDENCE, TELL ME IF I DID
ANYTHING WRONG BECAUSE SHE’S
PRETTY CERTAIN SHE DIDN’T, AND
LOOKING FOR AN EXONERATION.
THAT WOULD BE A VERY HEAVY LIFT.
THE S.E.C. AND OTHER REGULATORS
GENERALLY DON’T DO THAT.
BUT AGAIN, I’M TELLING YOU, I
LOOK AT FACTS AND CIRCUMSTANCES.
YOU KNOW, THE SENATE BRIEFING
WASN’T EXACTLY A BRIEFING THAT
TOLD YOU ANYTHING SO DRAMATIC
ABOUT THE CORONAVIRUS.
IT LOOKS BAD, BUT IT’S NOT -- I
JUST DON’T SEE THE CASE HERE.
BE THAT AS IT MAY, HER CAREER,
POLITICAL CAREER, REMEMBER, THEY
CHOSE HER FOR THAT GEORGIA
SENATE SEAT BECAUSE JEFF
SPRECKER’S FIRM, JEFF IS A
NATIVE OF GEORGIA, HIS FIRM IS
HEADQUARTERED IN GEORGIA, HE’S A
CITIZEN, THEY THOUGHT SHE WOULD
GET SUBURBAN WOMEN VOTE AND SHE
HAD MONEY.
IT DOESN’T LOOK LIKE THAT’S
WORKING OUT RIGHT NOW.
NOW, IN TERMS OF GOLDMAN SACHS,
LIZ, I CAN ONLY TELL YOU THIS.
THEY HAVE HAD CONVERSATIONS WITH
BANKS OVER THE LAST COUPLE
YEARS, PARTICULARLY THIS YEAR,
U.S. BANCORP, I HEAR THEY HAVE
HAD CONVERSATIONS FOR SOME SORT
OF MERGER.
THEY ARE SMALLER NOW THAN EVER
BEFORE.
THEIR BUSINESS MODEL IS WEAK
BECAUSE THEY CAN’T KEEP
PROPRIETARY TRADING SO THEY HAVE
TO -- THE THEORY IS THEY HAVE TO
DO SOMETHING.
THE NAMES THAT ARE OUT THERE
THAT GOLDMAN MAY BE LOOKING AT,
YOU KNOW, TEAMING UP WITH, AND
I’M GETTING THIS FROM SENIOR
BANKING SOURCES, OBVIOUSLY U.S.
BANCORP, THEY HAVE SPOKEN WITH
THEM.
THAT’S IN THE MIX.
BUT WELLS FARGO, WHICH NEEDS A
MERGER PARTNER AS WELL.
THEY NEED TO COMPETE AGAINST
JPMORGAN.
OTHER NAMES ARE BLACKROCK, PNC.
THOSE ARE THE TYPES OF COMPANIES
THAT WE KEEP HEARING THAT THEY
ARE TALKING ABOUT AND THEY ARE
THINKING OF MERGING WITH, OR AT
LEAST HAVING TALKS WITH.
MOST OF THESE TALKS, EVEN WITH
U.S. BAN TL CORPCORP, GET BOGGED
BECAUSE GOLDMAN IS SMALLER YET
THEY WANT TO RUN IT.
USUALLY THE BANK WON’T LET THAT
HAPPEN.
LIZ: HEY, CHARLIE, CHARLIE, LET
ME -- YOU WILL BE HAPPY THAT I’M
INTERRUPTING YOU, CHARLIE.
HOLD ON, HOLD ON, HOLD ON.
CHARLIE, CHARLIE, CHARLIE.
YOU WILL BE HAPPY I’M
INTERRUPTING YOU.
THE DOW IS HITTING A NEW SESSION
HIGH ON THE BANNER THAT YOU HAVE
THAT SAYS THAT YOUR SOURCES ARE
SAYING PRESIDENT TRUMP AND HIS
REGULATORS MIGHT VERY WELL GIVE
THIS REGULATORY APPROVAL.
I JUST WANTED TO LET YOU KNOW
THAT.
WE ARE NOW UP 340 POINTS.
CHARLIE: THAT IS THE BETTING
AMONG BANKERS THAT, YOU KNOW,
LISTEN, THEORETICALLY, THIS,
MEANING THE WELLS FARGO DEAL,
THE OTHER DEALS COULD HAPPEN,
BUT THIS MEANING WELLS FARGO,
WELLS FARGO GOT INVOLVED IN A
SCANDAL.
IT HAS CAPS ON HOW MUCH IT COULD
GROW AND BUY STUFF.
THE THINKING IS THAT IN THE
TRUMP ADMINISTRATION, THROW THAT
OUT.
IF THIS DEAL MAKES SENSE
ECONOMICALLY, THEY WILL FIGURE
OUT A WAY TO APPROVE IT OR GET
THE FED TO APPROVE IT.
I THINK IT’S THE FED THAT HAS TO
APPROVE IT.
THAT’S THE THINKING.
I DON’T THINK THAT’S PIE IN THE
SKY THINKING.
I THINK THAT’S REAL THINKING.
AGAIN, ALL THOSE BANKS THAT WE
SPOKE TO HAD NO COMMENT.
GOLDMAN HAD NO COMMENT.