Dear Representitive Mike Conway,
We believe that Sheldon Whitehouse (D) RI, John Kerry (D) MA, and Senator Johnny Isakson (R) GA, have engaged in unethical insider trading in regards to their stock in Amgen and would like you to investigate their involvement in the Amgen stock collapse.
Whitehouse, Kerry and Isakson all had large amounts of stock in Amgen - a bio tech corps based in RI.
The story unfolds in Feb. Of 2007,when the FDA issued a warning about Amgen's blockbuster Aranesp and Epogen drugs amid an investigation about dosage safety. The therapies had come under scrutiny after mounting evidence showed that widespread over-prescription by doctors had contributed to further complications, including the deaths of some recovering cancer patients.
Three months later, on May 10 2007, the FDA recommended restrictions on the use of Amgen's drugs. On May 14, Medicare made a surprise announcement that it would end unlimited payments to doctors who prescribed Amgen's drugs. At the time at least one wall street analyst expressed a surprise at the speed of the decision by Medicare.
But in a timely scale, Kerry - a long time member of the Senate committee that oversees government drug reimbursements to Amgen - reported the trade of shares in the company on May 4 2007 and May 7 2007. On these days the stock closed at $63.08 and $63.10, respectively according to a review of historical prices and congressional ethics disclosures filed later that year by the end of 2007,amgen shares traded in the mid-$40 range.
For Amgen, the Medicare decision was a major blow, setting off a chain of events that resulted in the layoff of thousands of employees. Amgen has set aside $780 million to settle lawsuits related to overuse claims.
Kerry's staff told the Business Times that the investment decisions wee made by a trust that benefits Kerry's wife Teresa Heinz Kerry, and that Kerry does not control it.
" Blind trusts aren't very blind, especially for members of congress" said Craig Holman, a government affairs lobbyist at Public Citizen, a Washington think tank. Holman lobbied the U.S congress in 2012 to pass the Stock Act, which banned politicians from using what they learn on the job to make profit. However, spousal trades and those made by blind trusts, such as the one that benefits Kerry would remain out of the scope of the act.
I believe these practices to be a conflict of interest and insulting to the integrity of politicians everywhere, aiding in the death of a thousand cuts by corporations to our financial and political systems.
I feel that politicians must be held responsible for their unethical abuses of power in the financial world.
To that end, I would like to present a forum for citizens to report corruption to each other locally. Hopefully, through this dialogue, we'll begin to draft a collectively authored bill to end the corporate lobbying of politicians and insider trading,