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Canadian Insider Trading Scheme Ends in Suicide

The sad tale of two greedy friends and their last, biggest score

By Kevin Spak,  Newser Staff

Posted Oct 29, 2009 12:59 PM CDT

(Newser) – When Stanko Grmovsek pled guilty to criminal charges stemming from his insider trading activity on Tuesday, it ended a paperback-worthy tale of friendship and deceit, Reuters reports in an in-depth look at the biggest insider trading scheme in Canadian history. A day before his plea, Grmovsek’s co-conspirator and best friend, Gil Cornblum, jumped off a highway bridge to his death, done in by greed, depression, and not billing clients enough.

Cornblum and Grmovsek were law school buddies, and they used Cornblum’s position as a prominent Toronto business lawyer to buy stocks ahead of mergers. They pulled off 46 such trades, for a total of $9 million. Though they grew ever more cautious, they couldn't resist the next payday, and finally a million-dollar haul drew regulators' attention. When authorities checked the computers in Cornblum’s law office, they saw he’d stayed late to access records without billing clients for the time. It was the fatal flaw that led authorities to him—and eventually led him to his death.

The duo pulled off 46 trades, for a total of $9 million.
The duo pulled off 46 trades, for a total of $9 million.   (Shutterstock)
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COMMENTS
Showing 3 of 3 comments
plstyle
Oct 29, 2009 6:27 AM CDT
hmm, no not really. Besides the fact that they were two different sexes, these were slimy lawyers. Bonnie nor Clyde committed suicide. Some say they fought against all that was wrong with banks and enforcement of that era. With all the bank fees and abusive use of the badge these days, I'm sure they're going nuts doing tumbles in the grave.
armchair_reporter
Oct 29, 2009 6:27 AM CDT
just you
IggyJack
Oct 29, 2009 6:07 AM CDT
Huh, anybody think this has a Bonnie and Clyde type of theme to it? Or is that just me?

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