Eliot Spitzer on His Fund Blitzkrieg

New York's attorney general explains why this investigation is achieving such rapid results -- and what may come next

For New York Attorney General Eliot Spitzer, the lightning strike against illegal after-hours trading of mutual-fund shares was a no-brainer. In contrast to the "subjective" issues involving conflict of interest on Wall Street, the law is "clearcut" on after-hours trading, says Spitzer. His charges against four mutual-fund groups –- which exposed the unsavory practice of market-timing as well as the illegal one of late-day trading -- sent a shock wave across Wall Street (see BW Online, 9/17/03, "Spitzer's Moves Make a Virtue of Speed").

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