S. Hrg. 106-505 DAY TRADING: EVERYONE GAMBLES BUT THE HOUSE HEARINGS BEFORE THE PERMANENT SUBCOMMITTEE ON INVESTIGATIONS OF THE COMMITTEE ON GOVERNMENTAL AFFAIRS ONE HUNDRED SIXTH CONGRESS SECOND SESSION FEBRUARY 24 AND 25, 2000 Printed for the use of the Committee on Governmental Affairs 64-133 cc U.S. GOVERNMENT PRINTING OFFICE For sale by the U.S. Government Printing Office Superintendent of Documents, Congressional Sales Office, Washington, DC 20402 COMMITTEE ON GOVERNMENTAL AFFAIRS FRED THOMPSON, Tennessee, Chairman WILLIAM V. ROTH, Jr., Delaware PETE V. DOMENICI, New Mexico JOSEPH I. LIEBERMAN, Connecticut DANIEL K. AKAKA, Hawaii ROBERT G. TORRICELLI, New Jersey JOHN EDWARDS, North Carolina HANNAH S. SISTARE, Staff Director and Counsel JOYCE A. RECHTSCHAFFEN, Minority Staff Director and Counsel DARLA D. CASSELL, Administrative Clerk PERMANENT SUBCOMMITTEE ON INVESTIGATIONS SUSAN M. COLLINS, Maine, Chairman WILLIAM V. ROTH, JR., Delaware CARL LEVIN, Michigan DANIEL K. AKAKA, Hawaii RICHARD J. DURBIN, Illinois MAX CLELAND, Georgia JOHN EDWARDS, North Carolina K. LEE BLALACK, II, Chief Counsel and Staff Director LINDA J. GUSTITUS, Minority Chief Counsel and Staff Director MARY D. ROBERTSON, Chief Clerk Deborah M. Field, Counsel, Permanent Subcommittee on Investigations, on detail from the Securities and Exchange Commission Alyce Wenzel, Mother of Scott Webb, former day trader who was shot by Mark Barton in the Atlanta Office of Momentum Securities, Huntley, Illi- Steve Buchwalter, Attorney for Amy Le, former customer of Providential Securities, Encino, California Carmen Margala, former customer of All-Tech Direct, Oceanside, California Sandra Harlacher, former customer of All-Tech Direct, Solana Beach, Cali- 12 14 17 Barry Parish, former Branch Manager, All-Tech Direct, San Diego, California Huan Van Cao, day trader at Providential Securities, Fountain Valley, Cali- Justin Hoehn, Branch Manager, Momentum Securities, Atlanta, Georgia Fred Zayas, former Branch Manager, All-Tech Direct, Watertown, Massachu- Lori A. Richards, Director, Office of Compliance, Inspections and Examina- tions, Securities and Exchange Commission, Washington, DC Barry R. Goldsmith, Executive Vice President, Enforcement, NASD Regula- Deborah R. Bortner, Director, Securities Division, Washington State Depart- ment of Financial Institutions, Olympia, Washington Harvey I. Houtkin, Chief Executive Officer, All-Tech Direct, Montvale, New Henry D. Fahman, President and Chief Executive Officer, Providential Secu- rities, Fountain Valley, California James H. Lee, President, Momentum Securities, Houston, Texas |