After watching The Wolf Of Wall Street I have to ask, what did Jordan Belfort do criminally wrong exactly?
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People are explaining pump-and-dump. There was also the “women’s shoes” / Madden thread in the movie, [somewhat explained here](https://www.dailymail.co.uk/news/article-8799351/How-shoe-designer-Steve-Madden-created-shoe-empire-strung-junkie.html). When a company joins the stock market, there’s an Initial Public Offering (IPO) where the banks and investors choose an initial price and number of available shares. This is still fairly sketchy about who gets the first buys, whether the price starts too high or low, how it performs on the first day, etc.
In this case, Belfort was running the IPO, and was not supposed to get a head start with a too-influential too-large number of shares, so he made an agreement with Steve Madden to hide his investment in the company.
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