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by michaelscott 1966 days ago
I'm not sure about this. If there's clear and blatant market manipulation on the part of the broker (which will likely get them hauled in before the SEC btw) then I imagine many investors/traders looking at this from the sidelines will be pulling their accounts as well, whether they're involved in this directly or not.
1 comments

> likely get them hauled in before the SEC

More or less likely than enabling or collaborating with the crowd to massively pump a stock for the sole purpose of disturbing the market?

This, to me, looks like their stay-out-of-jail card.

I think it will depend on furore that remains after the dust has settled. It seems to have become a bipartisan issue (when last did the US have one of those?) which means if people stay angry enough they will still be pulled before SEC. Civil class action lawsuits have already been filed against RH and the like.

If the SEC could they would probably pull the stock pumpers as well, but you can ask Hollywood how easy it is to pull a random crowd of Internet disruptors in front of any kind of court in practice. Very difficult to prove coordination in a case like this as well, although not impossible