A closer look at where Mr. Karp was mentored

[joeypotsandpans]

www.justice.gov/usao/nys/pressreleases/November13/SACPleaDocs/SAC%20Indictment%20(Stamped).pdf

If you go to page 20, it talks about how the inside information machine works with respect to clinical trials...my purpose is to wake some up so not to be naive when it comes to the lengths these individuals (being kind) will go to. It has been said that if a short is confident in their position they would not have to instigate any downturn in price action, instead they would hope for the price to get pumped so they can take a position from a better entry point...makes sense right? Conversely if a hedge fund wanted to gain a better entry point in case "they have some info a little birdie passed on" they may do the opposite of pump and try to cause some selling pressure for a better entry to position long...who knows if this is exactly the case with Mannkind (although I would bet and actually have adding calls yesterday something is closer than we think) We may never know if there are/were any "connections" in whole scheme of things in this journey BUT the above indictment illustrates how extensive the lengths these funds will go to irrespective of the law and those that are suppose to governing it. Hopefully, in the context of my thoughts on the possibility of why the "bear" raid maybe Karp knows something good is around the corner 

[seanismorris]

Mr. Karp is a nobody, I would spend much time worrying about him.

From what I can tell from his hedge fund holdings, shorting MNKD was a relatively minor position (as a percentage) but it could have become a significant loss.  In general, the fund isn't very active in biotech; so in my opinion knowledgable he is not.

The most likely scenario is he realized that he needed to exit a loosing position, so was waiting for the right time to get out.  The technical chart for MNKD provided the perfect opportunity to beat down the stock.  He timed it very well (I have to give him credit for that).  He just needed his news (of being short) to cause the stock to break below the 50 day Average to create a spike downwards (with technical traders selling).

Don't be surprised the next time the fund reports, that they no longer have any position in MNKD.  

Is it illegal what he did? Probably not, I don't think he was acting on Insider Information he just realized that it was a bad time to be short. (Going into the partner announcement, possibly with the next two weeks)

[kc]

He probably had no position in the stock. He was just helping his friends who did. They will do the same for him on another stock. They don't want to get caught with blood on their hands in case the SEC is watching them.

This was just professional courtesy on his part to other hedges. They are wolves who know how to destroy a company.

[kc]

Jul 27, 2014 5:22:21 GMT -5 kc said:

He probably had no position in the stock. He was just helping his friends who did. They will do the same for him on another stock. They don't want to get caught with blood on their hands in case the SEC is watching them.

This was just professional courtesy on his part to other hedges. They are wolves who know how to destroy a company.

More on Karp.
mobile.nytimes.com/blogs/dealbook/2014/01/06/sac-traders-co-workers-were-deposed/?_php=true&_type=blogs&_r=0