When the stock price of Avon jumped20 percent on May 14, those inside the financial services industry were abuzz, particularly once it was discoveredthe EDGAR database might have been manipulated. U.S. Senator Charles Grassley (R-IA), known in some circles for his curious mind and straight forward manner, had similar questions about an apparently fraudulent filing that caused the price spike, a topic he raised in a letter to SEC Chair Mary Jo White.
Citing the SEC’s own description of the system, which states EDGAR “performs automate collection, validation… and acceptance” of information, Grassley, after emphasizing the word “validation” in a letter to White, wondered if there was not some “systemic vulnerability” in the database...
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