The Press: Less Smileage

Two years in jail and a $10,000 fine was the sentence meted out last week by a Federal court in Chicago to Esquire's publisher, David Smart, his brother Alfred and their broker Arthur Greene. The charge: milking the public of $1,325,000 by artificially rigging the price of Esquire-Coronet, Inc. stock (which rose from $7 to $12.25 while 153,000 shares were being distributed—TIME, May 12). Lighter-sentenced were four New York and Chicago brokers, three Esquire employes.

But the Esquire manipulators, pleading vagueness about the Securities & Exchange Act, got off lightly. They were told that jail sentences would be suspended if fines were...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!