"Phil's Insider-Trading Escape"

In a special to GolfDigest.com, New Yorker staff writer and CNN legal analyst Jeffrey Toobin considers the Billy Walters insider trading case and concludes that Phil Mickelson escaped more serious prosecution thanks to a legal quirk.

It's a long piece but as with all Toobin stories, a good read.

The key conclusion:

But Mickelson's legal odyssey had a final twist. The Newman case, decided by the Second Circuit in December 2014, effectively prevented a criminal prosecution against Mickelson. But while the criminal prosecution of Walters was pending, the United States Supreme Court took up another case from California, which had limited insider-trading law in a nearly identical way that Newman had done in New York. In a unanimous decision in December 2016, the Supreme Court rejected the Newman rule and held that recipients of inside information could be prosecuted even if they didn't know what the original tipper received. In other words, Mickelson might have been prosecuted if his case had arisen before December 2014 or after December 2016. But because the Newman case was the law in New York when his case came up, Mickelson dodged trouble on either side—just as he did between those two trees at Augusta.

Comments

[Kevin part deux]

With all that, it amazes me still that KPMG, a global accounting firm, continues its relationship with him.

[OWGR Fan]

KPMG has had plenty of their own issues involving illegal activities. Phils misstep dollar wise is a drop in the bucket compared to what KPMG had to pay. Thick as thieves.

https://www.irs.gov/uac/kpmg-to-pay-456-million-for-criminal-violations

[Drew Scott]

Phil's a tool

[JJBeck]

There was , probably , 100,000,000 insider trades made last year. Insider trading has been going on since the dawn of Wall Street and will go on forever. How do you think people make so much money in the market ? It's only prosecuted when the perp steps out of bounds a bit , or if politics are involved. The game continues , just as the political game continues. We are all bystanders , or players in the games....play on.

[Paul]

Phil should be on his knees to the high heavens for escaping doing time. This really sheds light on the true type of guy he is. Made nearly 50m that year so could've easily afforded the debt so why take the risk of a stock tip and trade out the day after the event - duh, like that's not going to get flagged? And why hanging around a guy like Walters.

Appears he and Bones tired of each other and it was a divorce. Probably more Bones growing tired of being a slave to Phil all these years and dealing with all his crap and antics just took a toll, knees bad, scouting courses and his guy playing the maybe I'm in, maybe I'm not game and Bones got irritated with him, they had a chat and that was the end of it. Phil's take is not winning, tired of Bones talking too much and that was it. A so called mutual parting. Notice how Phil never referred to him as 'friend' I think there's no hard feelings but it will never be the same between them.

[Erik J. Barzeski]

Phil has referred to Bones as a friend many, many, many times, Paul.

[Couples]

Really Phil ... Bitch about taxes and then try and steal even more. How much money do you need anyway
And yes the banks and stock market are the biggest of frauds