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American insurance MassMutual has been fined $ 4m by security guards at their Massachusetts home for failing to properly supervise Keith Gill, a former employee whose videos were “Roaring Kitty” millions of modern retailers releasing high-end GameStop shares.
Gill, whose forehead was often adorned with a red bandanna, became a middle man in the case of the conspiracy theorists that attracted the country which brought him to the forefront of a DRM Committee hearing February last.
A Massachusetts security adviser said that when Gill was hired by stockbroker MassMutual, the company failed to monitor the performance of its partners or other service providers or to monitor “excessive sales” in their accounts.
Gill, who also took the name DeepFuckingValue, was employed by MassMutual to develop customer equipment. The moderator said he wrote and shared over 250 hours of his YouTube marketing campaign working at MassMutual between April 2019 and last January.
“It is clear that MassMutual was not as diligent as it should be in monitoring its users,” said William Galvin, secretary of the Commonwealth in Massachusetts. “It took reporters less than a day to find out who was behind Roaring Kitty, when her boss did not realize what she was doing online.”
MassMutual has agreed to re-evaluate its media coverage and will be reviewed for three years, Galvin said.
“MassMutual is happy to leave us this story, we will avoid the damage and distractions associated with long-term litigation,” the company said.
Gill became a well-known stockbroker in the stock market, posting his commercials in the GameStop video store on Reddit games.
His sales were closely monitored and even followed by some observers as company stocks rose from about $ 19 earlier in the year to $ 483 a few weeks later.
This unstable practice disrupted hedge funds and it cost money of Robinhood, an online retailer that is popular with many daytime retailers, making it a fast-growing billions.
Galvin’s office also found that Gill had sold nearly 1,700 trades to three unnamed individuals, including some who were worth more than the $ 250,000 that MassMutual had set aside for his employees. The regulator said the company had failed to recognize the sale.
MassMutual, which did not approve or deny the findings, was also ordered to pay an additional $ 750,000 fine for failing to register other agents, and asked to register 478 of them.