What was the Stratton Oakmont scandal? How did employees at Stratton Oakmont participate in stock manipulation? While there are many ways for investment firms to make money, the practice of choice for Stratton Oakmont was stock price manipulation. Jordan Belfort’s traders artificially inflated the stock price of a company during its Initial Public Offering (IPO) while holding on to more shares of that company than was allowed by SEC rules. Continue reading to learn more about Stratton Oakmont’s scandalous method of making money.
Stratton Oakmont Scandal: Stock Manipulation by Proxies
