The Speaker of the House of Representatives, Nancy Pelosi, continues to cause controversy for the questionable investments she usually makes in large companies, shortly before the government awards them million-dollar contracts.
In this case, the questioned investment is the purchase of up to ten million dollars in shares from the multinational Microsoft, according to the House of Representatives’ report, published by investigative journalist Robbie Jaeger on April 12.
Jaeger also mentions that the investment was made in partnership with her husband, Paul Pelosi, just weeks before the Pentagon awarded a $22 billion contract to Microsoft, which would substantially boost the Pelosis’ profits.
“ICYMI: Recent financial disclosures show Speaker Nancy Pelosi, and her husband, Paul, purchased up to $10,000,000 in @Microsoft stock in early March.,” Jaeger wrote.
He added: “These purchases came just weeks before the Pentagon announced a $22 billion contract with the tech giant for AR headsets.”
ICYMI: Recent financial disclosures show Speaker Nancy Pelosi, and her husband, Paul, purchased up to $10,000,000 in @Microsoft stock in early March.
These purchases came just weeks before the Pentagon announced a $22B contract with the tech giant for AR headsets. https://t.co/urdUjAV8JU
— Robbie Jaeger 🔎 (@RobletoFire) April 12, 2021
The controversy is generated by the suspicion that Pelosi is taking undue advantage of the privileged information she obtains as Speaker of the House about the enormous investments that the federal government undertakes.
In fact, in just the 20 days following Pelosi’s purchase, the stock rose in value from $230 each to $250.
According to the Wall Street Journal, the contract for Microsoft awarded by the U.S. Army calls for more than 120,000 of the headsets installed in soldiers’ helmets to be delivered over a decade.
“This is another deal that speaks to MSFT’s broad tentacles of products across the Azure cloud ecosystem and AR front that enables Nadella & Co. to flex its muscles within the Beltway,” wrote Daniel Ives, the analyst at the Los Angeles-based private investment firm Wedbush.
Pelosi has already caused disgruntlement among constituents over similar investments, the most recent being her husband’s investment in electric vehicles, which will be heavily subsidized by the spending bill passed by the president, Joe Biden.
This would be an example of Pelosi “using her power to tax the middle class and personally profit from it,” condemned the national press secretary of the Republican Congressional Committee, Torunn Sinclair, according to Fox News on April 5.
For his part, Take Back.org executive director John Pudner had already criticized that investment by Pelosi, who purchased $1.5 million in stock in electric carmaker Tesla, days before Biden’s announcement.
“It’s corrupt and unacceptable for members of Congress, particularly the speaker, to trade stocks in companies affected by their votes in Congress,” Pudner said.
Likewise, University of Florida management professor Aaron Hill referred to the controversial case, explaining that Congress members can obtain information or even influence and take advantage of significant investment decisions.
He said, “The problem is that there are a lot of things that any congressman could do behind the scenes to positively influence Tesla’s [actions], such as delaying legislation and introducing it.”
Along these lines, Twitter user @kwisatz35925990 commented, “Insider trading much. Must be nice to be in the privileged elite that can just get away with the laws they wrote.”
Insider trading much. Must be nice to be in the privileged elite that can just get away with the laws they wrote.
— kwisatz haderach (@kwisatz35925990) April 12, 2021
Also weighing in was @LindaVT, another netizen expressing her proposal to prevent these types of investments, which could eventually involve conflicts of interest.
“It’s way past time to make it illegal for members of Congress to trade individual stocks. Period..”
It’s way past time to make it illegal for members of Congress to trade individual stocks. Period.
— Linda NYC2NEK ⓥ🐖🐄🐓🐘🐬🦃🐑 (@LindaVT) April 12, 2021