Posted in: Headlines
Published:
March 20, 2020 7:44 AM UTC

Two U.S. Senators Dumped Millions in Stocks After Coronavirus Briefings

2 Republican Senators facing calls for resignation after dumping shares before stocks crashed & they had access to detailed coronavirus briefings.

  • Two Republican Senators are facing calls for resignation after dumping shares prior to the stock market crash.
  • The Senators had access to information about the novel coronavirus not available to the public as early as January 24th.
  • The two government officials released misleading information about the coronavirus while selling their equity holdings.

Two GOP senators are in hot water for selling seven figures of stock holdings before the novel coronavirus crushed the U.S. stock market. Both senators had access to critical information regarding the possible impact of the virus as early as January 24th. Records reveal that the two government officials unloaded their equity assets weeks after the all-senators meeting.

Senator Sold $1.72 Million in Stocks and Told Associates About the Aggressiveness of the Virus

Republican Senator Richard Burr is now facing resignation calls after ProPublica revealed that he dumped millions worth of stocks in 33 separate transactions just before the stock market tanked.

Burr’s timing appears to be impeccable | Source: Twitter

Burr, the head of the Senate Intelligence Committee, has access to highly classified information regarding threats against national security. The senator also received daily coronavirus briefings around the time he sold his equity.

In a February 7th article that he wrote for Fox News, Burr stated,

Thankfully, the United States today is better prepared than ever before to face emerging public health threats, like the coronavirus, in large part due to the work of the Senate Health Committee, Congress, and the Trump Administration.

Burr says one thing but does another | Source: Twitter

Meanwhile, the Republican senator warned attendees of a luncheon organized by the Tar Heel Circle that the novel coronavirus is comparable to the 1918 pandemic. Burr said:

There’s one thing that I can tell you about this: It is much more aggressive in its transmission than anything that we have seen in recent history

He also told attendees that the virus could limit the travel of employees, shut down schools, and overwhelm hospitals.

The Richest U.S. Senator Sold Shares on the Same Day of the Coronavirus Briefing

Senator Kelly Loeffler, the richest member of Congress worth an estimated $500 million, reported her first sale of stock on January 24th. That’s the same day that the Senate Health Committee hosted the all-senators briefing on the coronavirus per The Daily Beast.

Between January 24th and February 14th, Loeffler dumped anywhere from $1.25 million to $3.1 million worth of equity jointly owned with her husband. The 15 stocks that Loeffler reported to have sold have shed a third of their value on average since she unloaded them.

The Republican Senator also invested in work-from-home company Citrix. The company’s stock price has been surging and bucking the overall negative investor sentiment due to the coronavirus.

The Republican senator took care of her retirement account instead of warning her constituents. | Source: Twitter

Loeffler is Jeffrey Sprecher’s wife. He’s the chairman of the New York Stock Exchange and the chairman and CEO of Intercontinental Exchange. That’s NYSE’s parent company.

This article was edited by Samburaj Das.

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Kiril Nikolaev @kirilnikk123

Kiril is a CFA Charterholder and financial professional with 5+ years of experience in financial writing, analysis and product ownership. He has a bachelor's degree with a specialty in finance and lives in Canada. Kiril’s current focus is on cryptocurrencies. He also has his personal website, InvestorAcademy.org where he teaches people about the basics of investing. He owns Bitcoin, Ethereum, and other cryptocurrencies. He holds investment positions in the coins but does not engage in short-term or day-trading. kirilnikk123@gmail.com

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