Replies to post #7039 on Consumer Automotive Finance Inc (CAFI)

[greg s]

The crux of Reg. FD deals with selective disclosure of material nonpublic information. This is exactly what you were referring to in your post and what we have seen attributed to management by others on this board.

[Maddog]

Bigbrr

I got your e-mail...thanks. This has always been a very fuzzy area and will continue to be.

Greg is right about FD (Full Dislosure) but so are you. Can a ceo say that they "got a great deal on the last five cars they bought" or can he say "navicom is about to launch its own satellites" or can the CEO say what I posted before "Virtually all my shares are NWAU. I bought a little NAUG."???

The SEC has to determine what is OK and what is not on a case by case basis. What is "material" to investors? What the information acted on in a way that caused harm to other investors? A fully disclosing company would have the CEOs share activity posted and public. I don't necessarily think that info was wrong to give out.

That said, a fully disclosing, listed, publically traded, SEC reporting company needs to watch what they say or they can get spanked.