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The $2.2 billion drop in the value of Emulex happened lightning fast -- from $113 a share to about $43 in just 16 minutes -- as investors dumped the stock after reading news stories on the Internet based on a phony press release. But almost as quick was the investigation that resulted in the arrest of a 23-year-old California student who allegedly posted the fake release and made nearly $250,000 in the process by selling the stock short.
August 31, 2000 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
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