Former insider trader turned prolific informant, Tom Hardin, shares his journey from illegal activities to becoming Tipper X, one of the most successful informants in securities fraud. He discusses wearing a wire, the aftermath of cooperating with the FBI, and how his work increased government enforcement on insider trading. The podcast also covers the challenges of social isolation and legal ramifications. Listen as Tom tells his captivating story!
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Quick takeaways
Tom Hardin confesses to insider trading and becomes an informant for the FBI
The challenges and emotional strain faced by Tom as an FBI informant wearing a wire to gather evidence
The impact of cooperating with the FBI on Tom's personal and professional life
Insights gained from Tom's experience, including self-reflection and commitment to ethical behavior
Deep dives
Introduction and Confession
Tom Hardin, also known as Tipper X, confesses to his involvement in insider trading to the FBI.
Initial Investigations
The FBI interviews Tom and encourages him to cooperate in exposing others involved in insider trading.
Seeking Guidance and Confessing to Loved Ones
Tom seeks advice from a priest and then tells his wife about his crimes, receiving her support.
Cooperating with the FBI
Tom agrees to wear a recording device to gather evidence against the worst offenders in insider trading.
The experience of wearing a wire for the FBI
The speaker shares their personal experience of working as a cooperator for the FBI, wearing a wire to gather evidence against individuals involved in insider trading. They discuss the lack of training provided and the challenges of building rapport and gathering incriminating information during their undercover conversations.
The emotional toll of the investigation
The speaker recounts the emotional strain they faced during the investigation and after their identity as Tipper X was revealed. They express feelings of guilt and shame, as well as the impact it had on their personal and professional life, including the difficulty finding employment.
Reflections on their actions
The speaker reflects on their decision to cooperate with the FBI and the rationalizations they made at the time. They discuss the role of patriotism and the belief that they were helping to clean up the industry. However, they also express guilt and a desire to make amends for their past actions.
Lessons learned from the experience
The speaker shares the insights gained from their experience, including a better understanding of their own psychology and decision-making. They discuss the importance of holding oneself accountable and the ongoing commitment to share their story as a way of raising awareness and encouraging ethical behavior.
How did Tom Hardin go from insider trading to becoming Tipper X, one of the most prolific informants in securities fraud history? Join us as Tom tells all!
What We Discuss with Tom Hardin:
The factors that led Tom Hardin toward the temptation of illegal insider trading.
How the FBI caught Tom — even when he thought he was playing "smart" — and got him to become Tipper X, one of the most prolific informants in securities fraud history.
The art of wearing a wire, maintaining silence even among family and friends, and other struggles of an FBI informant.
How Tom's work helped bring insider trading to the forefront of public attention and led to increased enforcement efforts by the government.
What the public aftermath of cooperating with the FBI looks like — from risk of retaliation by former colleagues to social isolation, psychological distress, and legal ramifications.