Jail for Nokia Warrant Manipulator

A former trader at the Portuguese stockbroker, LJ Carregosa, Jorge Oliveira has been convicted of manipulating the local market in Nokia warrants and has been sentenced to sixteen months in jail, suspended for four years. He will also be banned from working as a trader for three years.

The alleged market manipulation occurred back in July 2001.

Oliveira has consistently denied the charge, saying that he would not have ruined his life over "just 16 million Euros". Jorge Oliveira and its lawyer, Manuel Rasp plan to appeal, and Oliveira says that he has no plans to work in the stock market again.

Warrants are a security entitling the holder to buy a proportionate amount of stock at some specified future date at a specified price, usually one higher than current market price. Warrants are traded as securities whose price reflects the value of the underlying stock. Corporations often bundle warrants with another class of security to enhance the marketability of the other class. Warrants are like call options, but with much longer time spans-sometimes years. And, warrants are offered by corporations, while exchange-traded call options are not issued by firms."

Posted to the site on 11th May 2005