Connect with us

Tour News

SEC files $931K suit against Phil Mickelson for insider trading

Published

on

This story was updated for accuracy on May 19, 11:15 a.m.

Nothing good comes when you owe a bookie money, as Phil Mickelson is surely finding out. According to a complaint filed by the Securities and Exchange Commission this morning, Mickelson — named as a “relief defendant” — acted on an insider tip from gambler William “Billy” Walters, taking a position in Dean Foods to the tune of $2.4 million and selling his shares a week later at a profit of $931,000.

According to the complaint, Mickelson acted on the tip from Walters because he owed the gambler money, having “placed bets with Walters.” And while we don’t want to jump to conclusions, it seems Walters probably gave Mickelson the option of either repaying him out of pocket or taking the position, liquidating, and passing along the profits to settle his debts.

According to ESPN’s Darren Rovell, “The SEC is seeking to recoup alleged Ill-gotten gains from Mickelson, who was not criminally charged.” Thus, while he is being named, and asked to forfeit his “ill-gotten gains,” Mickelson isn’t being charged criminally (whereas Walters is).

The complaint also indicates that Mickelson does not have a history of trading stock and that the position in Dean Foods dwarfed the golfer’s other holdings. And for our readers who are curious about the specifics of the white-collar crime, the tip in question was a preview of Dean’s earnings and outlook, which was passed along to Walters by a Dean director, prior to the information being released to the public.

And for those who are really interested, here’s the SEC complaint.

Your Reaction?
  • 74
  • LEGIT25
  • WOW107
  • LOL18
  • IDHT6
  • FLOP3
  • OB3
  • SHANK74

63 Comments

63 Comments

  1. Johny Thunder

    Jun 6, 2016 at 6:17 am

    Welcome to Golfwrx, where people who claim to be plus-handicaps also claim to be experts on anything and everything you might raise as a topic. Also, they know all the private lives and inside details of everyone and everything – from Presidential candidates to professional golfers to every CEO on the planet. In their spare time, they know how to run every golf company better than anyone else, prophecy with 100% accuracy what each company will release next (“I guarantee 100%”), all while hitting a little low-spin knockdown 6 iron 220 uphill into the wind over the water to a tucked flag, which they had to do because their irons go too far and DG X100 hard-stepped twice always balloon on them. It’s all about gapping, my friends.

  2. Chuck D

    May 20, 2016 at 4:17 pm

    @Mac Attack: If dude is allegedly worth $180mil, why would he need to borrow $2.4mil to purchase insider traded stock. Why not just grab the gator bound checkbook and scratch one out for 2 plus mill? Oh, forgot, he’s a degenerate gambler with about $30k in the bank! Lol! Must be nice! Go get ’em Phil, get that “vindication” trophy while you can! Let’s see, a wife, 3 kids, a mortgage, 5-6 cars, new pimped out crib, gambling debts, a stripper, an alleged baby mama near da Mahztaz Toooonament, as Hootie used to say. Yup, ‘ol Phil’s prolly in desperate straights!!

  3. Chuck D

    May 20, 2016 at 4:10 pm

    Darn!!! Dey must’a flushed it. Sad

  4. Chuck D

    May 20, 2016 at 4:09 pm

    Uh oh, a moderator delay. Hopefully my comment won’t get the snatch grab!! Hahahaha!! 10, 9, 8, 7 ,6, 5, 4, 3, 2………………

  5. Chuck D

    May 20, 2016 at 4:07 pm

    In this country, having the “complexion for protection” is HUGE! Relief defendant?!! Whaaaat!! Never heard that term in my adult life! You’ve got to love a piece of KPMG’s mission statement (Phil’s major sponsor, errrr, enabler for those of you north of the border.) And I quote, “Tax arrangements relating to tax avoidance.” KPMG in 2005 admitted to criminal wrongdoing in creating fraudulent tax shelters to “help” wealthy clients avoid $2.5 billion in taxes and agreed to pay $456 million in penalties!! New thoughts for me when I see Pickle’s ball cap sponsor tag. Wonder if he had to pay additional “advisory” fees to his bookie? This is so contaminated with dog excrement that I can’t stand writing about it.

    Step right up folks nothing to see here, keep it moving, step up and purchase your overpriced tickets “where the proceeds ‘allegedly’ go to charity” and see Pickle live at the next bogus tour stop! The “w_ _ _ e” hope get’s a free pass on the grounds that he is an upstanding member of the southern California community that has made it clear to all that he hates paying taxes. I love this story and I hope that it has a long life!! Oh wait, Mr. Pickleson has already stated vindication!! On what grounds? Was there a trial that fill sat on? Vindicated?!! I LOVE IT!!! What’a country!!!

  6. RAT

    May 20, 2016 at 8:48 am

    Wasn’t smart , got caught! Fact . The password “Dallas Cowboys ” should have told you Phil!

  7. Lp

    May 20, 2016 at 2:05 am

    I love Phil. Phil is the best. He does nothing wrong, ever. It’s always somebody else who f’s it up.

  8. Dave

    May 19, 2016 at 9:47 pm

    He got his tip from J.D.

  9. Thudstaff23

    May 19, 2016 at 6:40 pm

    So glad I get all of my stock tips right out of thin air!

  10. ooffa

    May 19, 2016 at 4:42 pm

    Never bet more then is in your pocket. Imagine how deeply involved he is if this is how he agreed to pay a bet. Tip of the iceberg boys. He is a degenerate gambler through and through.

    • Eric

      May 19, 2016 at 9:59 pm

      The bookie couldn’t pay him so gave him the tip, not the other way around

  11. 8thehardway

    May 19, 2016 at 4:27 pm

    Pssst Phil, Pork Bellies!!! Pay me next week.

  12. Ronnie Biggs

    May 19, 2016 at 2:30 pm

    And “he” was not sleeping around until he was……the naivety of some on here is truly outstanding.

  13. Dennis

    May 19, 2016 at 2:23 pm

    He has basically been cleared of any wrongdoing. People are way too quick to condemn when the facts are not all available.

  14. Jafar

    May 19, 2016 at 2:12 pm

    Phil’s Response: “I only get out of bed for for a million dollar or more fines…”

  15. larrybud

    May 19, 2016 at 2:00 pm

    Yeah, but can Phil turn $1,000 into $100k in 10 months from cattle futures like a certain female Presidential contender? lol

    • B. Parsons

      May 19, 2016 at 2:44 pm

      Sad that a criminal such as her has a chance of winning the presidency.

      • Johny Thunder

        Jun 6, 2016 at 6:11 am

        Too bad the other side can offer *only* criminals!

  16. Mac Attack

    May 19, 2016 at 1:59 pm

    99% of those commenting have no idea what the heck is happening. The SEC routinely goes after everyone who trades stocks that make big jumps. The bookie, who is being charged criminally, is now throwing everyone under the bus in order to get out. You have to look at this logically. Why would a guy give a stock tip to someone who owes him money? Mickelson makes over $40 mil a year. Do you really believe that he needs to break the law in order to pay off a bet? You guys need to take your heads out of your arses and go to a Bernie rally. You have no mental capacity for anything greater.

    The SEC is filled with a bunch of low life attorneys that can’t get jobs with decent law firms. They hate people that make more money than they do… which is most people.

    • larrybud

      May 19, 2016 at 2:01 pm

      lol. A Bernie rally. Do you learn how to bankrupt a small college at those things?

    • Mike Honcho

      May 19, 2016 at 2:19 pm

      Sure he wants to break the law in order to payoff a bet. You think if he just goes down and withdraws $931K from his account that won’t raise some eyebrows with the bank or some federal banking agent, maybe even his accountant who he doesn’t want to know about his ‘off the books’ debt.

      You give a stock tip to someone who owes you money because that’s an easy way for the bookie to get paid and Phil not have to be ‘exposed’ to what is mentioned above. You’re right you have to look at it logically,but you’re making the assumption that just because someone has huge bank they operate logically.

      He screwed up, he’s caught and he’ll be doing 6-10 months in a Martha Stewart suite.

      • knall

        May 20, 2016 at 6:13 am

        So if he takes the tip and makes the money he doesnt have to transfer it to his bank and then withdraw it which would raise the same eyebrows? Didnt know stock brokers give out cash in those amounts.

      • Jeff Kinney

        May 23, 2016 at 7:21 pm

        You’re right on the mark. Ask Dennis Hastert about pulling large sums of money out to pay someone off.

    • steve

      May 19, 2016 at 2:21 pm

      you dont understand the mind of the gambler. your always chasing yout losses. Lose a million bet and try to get it back.

    • Minnesota Fats

      May 19, 2016 at 10:03 pm

      Pretty sure you have that backwards. The bookie couldn’t pay Phil, not the other way around.

      • Minnesota Fats

        May 19, 2016 at 10:15 pm

        Then again my reading comprehension could probably use some help, I totally read it wrong lol.

  17. birdy

    May 19, 2016 at 1:34 pm

    someone tells you to trade a stock and you do and you make money…..turns our the advice was accurate but only because your advisor had special info….how again is this Phil’s fault? oh, its not. IRS wants the money back, but there is NO criminal charges.

    • Forsbrand

      May 19, 2016 at 1:43 pm

      Th information was not freely available to all public that s the big issue here.

      If Phil was in the UK the would be looking at a prison sentence as well as a fine

      • Nick Barone

        May 19, 2016 at 1:54 pm

        This is America where we welcome fraud and power abuse

      • Mac Attack

        May 19, 2016 at 2:00 pm

        You are completely wrong.

        • Forsbrand

          May 20, 2016 at 3:36 am

          Dealt in a stock in a size larger than normal “parcel size” of other holdings / purchases

          Wonder why he had so much faith in Dean Foods, what did Phil know? NOTHING?

          So my friend I think you are wrong

    • Marty Moose

      May 19, 2016 at 1:53 pm

      Where is the word “advisor” in this article? Was the bookie also his financial advisor?

      • Scott

        May 20, 2016 at 8:40 am

        My bookie is a terrible financial advisor. He told me Apple was a flash in the pan…

  18. JJ

    May 19, 2016 at 1:19 pm

    Why are coming down so hard on Phil. What about all the banks that got off for the housing market crash and the government official who let it happen. How are those execs allowed to keep their job and then get bonuses a few years later. It is ridiculous that people’s focus is so short sided. Go after the real white collar criminals, but that will never happen because people are stupid and can not come together!

  19. steve

    May 19, 2016 at 12:28 pm

    His gambling is out of control

    • Phil Mickelson

      May 20, 2016 at 7:11 pm

      How much you wanna bet it ain’t

  20. cgasucks

    May 19, 2016 at 11:24 am

    Mickelson is better off just to pay off his gambling debts out of pocket instead of illegal gotten gains from the stock market. Him breaking the law won’t look good on him.

    • cgasucks

      May 19, 2016 at 11:25 am

      Robbing Peter to pay Paul…

    • birdy

      May 19, 2016 at 1:36 pm

      did you even read the article….phil did nothing illegal.

      • Brian

        May 19, 2016 at 2:00 pm

        Yes, Phil did do something illegal. This is the same thing that landed Martha Stewart in Jail, birdy.

        • Mac Attack

          May 19, 2016 at 2:02 pm

          Martha Stewart went to jail for LYING to federal investigators NOT insider trading. You probably play oversize cavity backs and can’t hit anything over a 7 iron, Miss.

          • Brian

            May 19, 2016 at 2:05 pm

            If MP-57s are oversize cavity backs, then yes, I’m guilty.

            • Slimeone

              May 19, 2016 at 4:49 pm

              Actually they are. They’re not HUGE but they’re definitely not blades. So by WRX standards that makes them shovels.

      • cgasucks

        May 19, 2016 at 4:09 pm

        Have you ever seen the movie “Wall Street” birdy?

      • Rwj

        May 19, 2016 at 6:15 pm

        He did something illegal, they are saying not criminal. Did you read the article Mr smarty pants? If it wasn’t illegal he wouldn’t be paying back. It isn’t considered criminal, at least not for him

        • Forsbrand

          May 22, 2016 at 12:28 pm

          Check out Criminal Justice Act 1993 -Insider Dealing

  21. Tom

    May 19, 2016 at 11:22 am

    Ill gotten goods, gone bad through gambling deeds

  22. Ben Alberstadt

    May 19, 2016 at 11:19 am

    NUANCE: According to ESPN’s Darren Rovell, “The SEC is seeking to recoup alleged Ill-gotten gains from Mickelson, who was not criminally charged.”

  23. Marty Moose

    May 19, 2016 at 10:58 am

    Phil is a dirty guy. Those who think otherwise play right into his hands. He tries to play up the folksy, family man “gosh gee golly” persona but he is really liar, thief and adulterer. Get this loser out of the game of golf.

    • Tom

      May 19, 2016 at 11:24 am

      Please expand on your opinion.

      • cgasucks

        May 19, 2016 at 11:29 am

        Although there are numerous stories of him acting fake to other people from fellow PGA pros to possibly being an adulterer (rumors of him having an illegitimate child with a stripper), but thief? I don’t know about that.

        • Marty Moose

          May 19, 2016 at 11:35 am

          Insider trading would count as theft. No? This is not first time being accused of this.

          • Undershooter30

            May 19, 2016 at 1:32 pm

            Actually this is the first of him being accused of insider trading. This is the same story as before. Just following up on it. It takes a while to build a case.

            • birdy

              May 19, 2016 at 1:38 pm

              phil isn’t being accused of insider trading. thats illegal. his advisor is being accused. SEC and IRS just want phil’s profits that supposedly resulted from anothers insider info. big difference.

          • birdy

            May 19, 2016 at 1:37 pm

            IRS commits theft every april

    • TCJ

      May 19, 2016 at 11:55 am

      So he is also sleeping around… nice! He’s got moves both on and off the course. Kudos Lefty, you’re still my hero!

      • TCJ

        May 19, 2016 at 11:58 am

        Game… he’s got game both on and off the course… dammit!

    • birdy

      May 19, 2016 at 1:32 pm

      um….phil did nothing criminal….unlike the lady you’ll vote for

    • cody

      May 19, 2016 at 2:10 pm

      comments like these need a shred of evidence before you publicly defame someone. i am not saying that you are wrong, but as far as i know there is no proof to any of your statement.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Tour Photo Galleries

10 interesting photos from Tuesday & Wednesday at the U.S. Open

Published

on

GolfWRX is live this week from the 2019 U.S. Open at Pebble Beach Golf Links!

We have plenty of general galleries packed with a bundle of great photos in our forums, as well as specialized and WITB galleries for you to enjoy. Here are ten interesting photos from Tuesday and Wednesday to get you fired up ahead of today’s opening round!

Bernd Wiesberger testing the new Aldila Rip X proto shaft.

Checking out Paul Casey’s custom Mizuno irons.

New Mitsubishi iron shaft.

Tiger Woods’ famed and trusty Scotty.

Justin Rose rocking Nike’s Roshe G Tour shoes from their “No Denim Allowed” pack at Pebble this week.

Amateur Matt Parziale gaming the “old school” ProForce V2 shaft in his 3W.

Up-close and personal with Kodai Ichihara’s wedges.

Rickie Fowler showing off the Cobra x CRU’s Headcover from Puma’s U.S. Open Patriot Pack.

Brett Drewitt getting into the spirit of things this week with appropriate wedge stampings at Pebble Beach.

Austin Eckroat’s Ping Redwood flat-stick has been impressing our members in our forums.

Check out all of Tuesday’s photos in our forums.

Check out all of Wednesday’s photos in our forums.

 

 

Your Reaction?
  • 3
  • LEGIT0
  • WOW0
  • LOL0
  • IDHT0
  • FLOP0
  • OB0
  • SHANK1

Continue Reading

Tour Photo Galleries

Wednesday’s photos from the 2019 U.S. Open

Published

on

GolfWRX is live from famed Pebble Beach for the 2019 U.S. Open.

From Wednesday’s pre-tournament action on the Monterey Peninsula, we have four general galleries, a Renato Paratore WITB, and a very cool look at Paul Casey’s Mizuno irons.

Check out links to all our photos from Wednesday, below.

General galleries

Special galleries

See Monday’s photos here

See Tuesday’s photos here

See what GolfWRXers are saying about the shots from Pebble in the discussion thread.

Your Reaction?
  • 6
  • LEGIT1
  • WOW2
  • LOL1
  • IDHT0
  • FLOP0
  • OB0
  • SHANK1

Continue Reading

Tour Photo Galleries

Tuesday’s photos from the 2019 U.S. Open

Published

on

GolfWRX is live from famed Pebble Beach for the 2019 U.S. Open.

From Tuesday’s pre-tournament action on the Monterey Peninsula, we have four general galleries, a few WITBs (including Tiger Woods), additional looks at Titleist’s new 620 and T100 irons, and an intriguing new shaft from Mitsubishi.

Check out links to all our photos from Tuesday, below.

General galleries

Special galleries

See Monday’s photos here

See what GolfWRXers are saying about the shots from Pebble in the discussion thread.

Your Reaction?
  • 18
  • LEGIT1
  • WOW2
  • LOL0
  • IDHT0
  • FLOP1
  • OB0
  • SHANK1

Continue Reading

19th Hole

Facebook

Trending