Meg Whitman—Disgorged $1.78M profit from Goldman Sachs IPO 'spinning' scheme deemed 'corrupt'
From 1998-2002, Whitman participated in 'spinning' - receiving privileged access to over 100 hot IPOs from Goldman Sachs in exchange for eBay bond business. Practice was banned in 2003 as corrupt. Congressional investigation in 2002 called transactions 'rigged and corrupt.' Whitman settled in 2005, disgorging $1.78M profit without admitting wrongdoing. Goldman also put her on its board in 2001, paying $475K for one year before she left during probe.
Scoring Impact
| Topic | Direction | Relevance | Contribution |
|---|---|---|---|
| Corporate Governance | -against | primary | -1.00 |
| Overall incident score = | -0.221 | ||
Score = avg(topic contributions) × significance (high ×1.5) × confidence (0.59)× agency (compelled ×0.25)
Evidence (1 signal)
Disgorged $1.78M profit from Goldman Sachs IPO 'spinning' scheme deemed 'corrupt'
From 1998-2002, Whitman participated in 'spinning' - receiving privileged access to over 100 hot IPOs from Goldman Sachs in exchange for eBay bond business. Practice was banned in 2003 as corrupt. Congressional investigation in 2002 called transactions 'rigged and corrupt.' Whitman settled in 2005, disgorging $1.78M profit without admitting wrongdoing. Goldman also put her on its board in 2001, paying $475K for one year before she left during probe.