Detwiler Fenton is now involved in criminal case over BlackBerry sales data

Back in April 2013 Boston-based firm Detwiler Fenton released a report on the BlackBerry Z10 sales. This report stated that the BlackBerry Z10 was being returned at unusually high rates. This report forced Blackberry’s Stock down by 7% in just one day.

According to The Boston Business Journal we maybe seeing a criminal case:

“A former executive at a Verizon Wireless retailer was arrested Thursday for allegedly selling confidential sales and product information to the Boston financial services firm Detwiler Fenton, including information that caused BlackBerry’s stock price to plummet in April 2013.

“James Dunham, the former chief operating officer of Connecticut company Wireless Zone, allegedly secretly provided the information to Detwiler for more than three years. In exchange, Detwiler paid Dunham $2,000 per month, for a total of approximately $61,000, according to a criminal complaint lodged in federal court.

“According to the complaint, Dunham was the source behind a controversial research note published by Detwiler analyst Jeff Johnston in April 2013. The note said that BlackBerry’s Z10 smartphone, which was new at the time, was being returned to stores by customers at an unusually high rate. BlackBerry’s stock price fell more than 7 percent in one day following the publishing of the note”

“The complaint does not identify Detwiler, Blackberry (Nasdaq: BBRY) or Wireless Zone by name, but the Business Journal was able to identify the companies by comparing information in the complaint with publicly available financial records.”

Via: The Boston Business Journal

 

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