[got2surf]

I agree that making bets by noticing public information earlier is 100% okay (and in the case of Lumber Liquidators, a better outcome for almost everyone).

But would this case with the bank be different because the vulnerability, unlike formaledehyde, could be actively exploited? Encouraging a stock price to fall because of bad practices seems alright (like the LUmber Liquidators example), but if in the process you become an accessory to smaller-scale fraud against individual account owners, is it still "alright"?

[andreyf]

That question has nothing to do with shorting stocks and everything to do with vulnerability disclosure: http://www.blackhat.com/presentations/win-usa-04/bh-win-04-g...