When it was rumored that Samsung was in talks to purchase BlackBerry last month, one of the major side-effects was that BlackBerry's stock price skyrocketed. Now, regulators from both the U.S. and Canada are reportedly investigating trading activity around the time of the rumor in order to ascertain whether it was started to profit from the resulting surge in BlackBerry's stock price.
From The Wall Street Journal:
The Securities and Exchange Commission and the Ontario Securities Commission are in the early stages of examining trading activity around the time of a report by Reuters in January that Samsung was pursuing a takeover of BlackBerry for as much as $7.5 billion, according to people familiar with the matter. Investigators are looking at whether someone deliberately fed information to reporters at the news service for the purpose of profiting on the resulting stock increase, one of the people said.
As The Wall Street Journal notes, BlackBerry's stock surged by 30 percent on the back of the rumors, and nosedived just as quickly after both Samsung and BlackBerry denied the talks later that day.
Though proving any malicious intent may be difficult, it will definitely be interesting to see what, if anything, comes of this reported investigation.
Source: The Wall Street Journal