Essentially, Wiggin built up a position that made it profitable for him if his company failed.Since there were no laws against this in 1929, Wiggin made million from the 1929 crash.
His bankruptcy ended up taking down much of the New York Stock Exchange, and he died in 1799 in debtors' prison. Wiggin, 1929 During the 1920s, most Americans knew the stock market was a rigged game, which is why they were out for blood after it crashed in 1929. Wiggin, the head of Chase National Bank, had shorted 40,000 shares of his own company using family corporations to hide the trades.
Photo: James Nielsen/Stringer/AFPMartha Stewart, 2003 In June 2003, Martha Stewart and her broker, Peter Bacanovic, were indicted on nine criminal counts of insider trading.
Stewart had sold her Im Clone Systems stock in 2001 after Bacanovic advised her to because another client of his, Im Clone CEO Sam Waksal, had dumped his own shares.
Here, eight of the most famous cases to make headlines. Appointed by Alexander Hamilton in 1789 as the Assistant Secretary of the Treasury, he quit his job in 1790, but not before getting enough inside information to make bets on bank stocks.
William Duer, 1792 British-born entrepreneur William Duer is considered to be the first inside trader in U. Duer tipped off his friends and traded his own portfolio before leaking information that would drive up prices, which he then intended to sell for profit.
He also got a 0,000 a year pension for life from the bank, which he later declined after public outrage.