Georgian Representative Is Continuing His Slumber

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Despite the passing of strict laws and regulations, little has affected the trading activities of US politicians. The STOCK Act, which states that every politician ought to report their transactions within 45 days, has been ineffective in this aspect. Mainly because, even today, some significant people in Congress lag in reporting the trades they have made in the past. One of these was and still is Georgian Representative, Richard W. Allen.

Trade from the Past

Earlier this year in September, Allen was one of four politicians who joined the ranks of lawmakers late in filing SEC reports. His unreported trades were in the largest numbers at the time, coming at a worth of $200,000.

Allen sold shares of Total System Services Inc. (NYSE: TSS) and United Technologies Corporation (NYSE: UTX). Both these trades are dated December 27, 2019, but their filing date is November 8, 2021.

The value of his $TSS stocks is in the range of $15,001 to $50,000. On the other hand, the $UTX shares were worth roughly between $1,001 and $15,000.

New Identities

The real crux of these stories is that both these companies stepped down from the market in 2019 and 2020. In an announcement released on May 28, 2019, Total System Services announced its acquisition by Global Payments Inc. (NYSE: GPN). $TSS’s stock price began rising after the announcement of the merger, it slipped away from the market. Its last reported price was $133.27 per share, dated September 17, 2019, nearly four months before Allen’s sale.

United Technologies too was in talks to form a merger with Raytheon (NYSE: RTN) for almost a year. A tech-systems provider to the building and Aerospace sectors, United is defunct since 2020.  Now, all its shares trade under the ticker of $RTN.

CapitolTrades shows both stocks, and their respective sales by Allen, under the tickers of $GPN and $RTN.

Repeated Delays

Late disclosures like this are the reason why most of the American population agrees that lawmakers should be barred from trading. The STOCK act passed almost nine years ago. But every now and then there is a politician on our CapitolTrades page who ignores it completely.

Some private traders have now coped with this ‘trend’ by keeping in touch with politicians trading as references for improving their own portfolios. Hence, the rise in popularity of online trading platforms that follow trading by the lawmakers themselves.

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