Reason First: Legalize Insider Trading Now

Fraud and receiving information are two different entities. The former relates to an actual crime where the violation of rights is involved. Information from a friend is just data supplied from a close associate that could benefit both parties. Seattle Seahawks linebacker Mychal Kendricks is facing time in prison and a multi-million dollar fine for his role in an insider trading scandal.

So let’s get a few things straight. The fraudulent practices should warrant time in prison, but so-called insider trading is no crime and more often than not, it is moral. If Kendricks took word from someone who knew something more than him, that’s “good looking out.” That’s a favor. The entire case should focus squarely on the fraudulent charges. The insider trading case amounts to over a million dollars which Kendricks earned based on information. The NFL baller could see up to 25 years in prison and pay five million dollars plus for the fraud charges.

It stands to reason to say that the linebacker knew what he was doing when he committed fraud. He should be penalized for his actions. But the insider trading portion is something that is subjective and inconsequential.

Fraud is a real crime that carries with it the immorality of not recognizing reality and seeking to harm others implicitly. While no bodily harm is usually involved in fraud, the anguish of being swindled is often too much to bear. In Kendricks’ case, he should focus on keeping those high-priced lawyers. They’re high-priced for a reason. They know the letter of the law more than most and can take him to a low security prison if sentenced to hard time.

Every bit of this reeks of the stench of subjectivism in the Security Exchange Commission (SEC). Instead of going after the fraud, they hype the insider trading aspect. Instead of going after Kendricks’ unseemly behavior, they seek to only expose the non-crime of obtaining tips from a close confidant. How is this at all against the law? If, let’s say, an amateur football player is showing signs of greatness coming from the small city of Newark, Delaware and no one knows about him, what would one do? If someone makes a call to a buddy and says that there’s this kid who looks promising and deserves a shot at the pro league, is that not insider trading?

Why is it that with the most robust system, finance, in the most virtuous country in the world, America, is often demonized, distorted, and made out to be the villain? It is because of the profit motive. The greedy, productive, noble, and the most moral people work on Wall Street. If this were not true, there would be no economy to speak of at all. Every automobile, smartphone, house, and everything in between would not exist without those warriors in Manhattan and extended across the globe. Most of them supply the funding for Silicon Valley startups or maintain them on the market. They permit the best entrepreneurs to open and run businesses on the semi-free market.

Kendricks ought to fight his insider trading charge. Despite all of the mishmash supplied by subjective SEC agents, the truth still remains that insider trading is a benefit not a detriment to a healthy economic system. It’s only the selfless, altruistic little atavists who want to bring the advanced society of the United States back to the Dark Ages of Europe.

Insider trading should be made a national pastime. Only in finance does it seem to be a crime. The way for it to reach the heights of legality is for the laws to change. They should be reversed based on the grounds that receiving information that is valuable from a friend is worth it.