Scott London Discusses Herbalife, Skechers Insider Trading in Interview

Scott London Discusses Herbalife, Skechers Insider Trading in Interview

Scott London spoke to CNBC’s Jane Wells about the KPMG insider trading scheme and how much he made in kickbacks. London says “nothing like this has ever happened before.”

Scott London video and computer transcript below


breaking news here let’s get to jane wells with an exclusive first time ever on tv with kpmg insider scott london. jane? we caught up with him outside federal court where he was inside presenting a plea agreement to the judge that he will plead guilty at a future date in the next few weeks in insider trading after giving secrets and insider information to his friend brian shaw who has pled guilty saying he made a million dollars on that information, herbal life, deckers outdoor. scott talked to us about how much he made in kick backs and if this was the only time it ever happen. listen. i received about $50,000 in cash. a watch that i was led to believe was about $10,000, a roll ex and three or four other items that i gave to my wife that were appraised for just under $10,000. if you add it up about 70 grand. is that going to be given back is this. most of it has been. the payment of the bond, the watch has been given back. the jewelry is in my car. the agents weren’t present the so we couldn’t give it back but that’s the plan. you were kpmg for 30 years. that never happened before? no. i’ve been there 30 years. nothing like this has ever happened before. i had a clean record, no violations of anything. unfortunately this, you know, ended up starting as something small and got pulled into something bigger which i obviously regret. i regret every day of my life. reporter: so why did this happen? he said that at first it may have been him complaining about certain things with a friend brian shaw trading on him about information without knowing it. he did know about it later. he did accept the cash and the gifts. he said however he he had no idea shaw made one million. he said when he herd he wanted to throw up. he is going to appear at a later date in court and plead guilty. he could face up to 20 years in prison. they’re hoping it’s nowhere near that because he pled guilty and admitted to everything. i asked him after that is over what’s next. he said i’m 50 years old. i have to kids to put in college. i’ll wait tables if i have to. at the end of the day it doesn’t make a difference if he’s passing on this information how much that person makes, right? reporter: he had no idea. you can argue that obviously but he said he had no idea, according to him, this was a much bigger operation for brian shaw than he ever realized, but he doesn’t deny he took the money. he took the jewelry. he took the watch. he’s not denying any of it. and that he detrade his company but he insists after 30 years in the business that’s the only time he’s done it. he’s willing to take a positivy graf but they have not asked him to take it. did you see that jewelry in his car, jane? what does he think of the taper? september? reporter: he said the jewelry added up to — he had it appraised to less than $10,000. he wanted to give it back today. basically he feels that between his bond and the watch and the jewelry he will be discouraging all the ill gotten gains. he’s getting the situation amended where he will be allowed to travel outside california and throughout the united states. 30 year career down the tubes for 70 grand. jane wells, thank you. reporter: also one other thing. he said that when he was first approached by the fbi and admitted to everything he warned them when this hits the media it’s going to explode because it involves herbal life. he knew. jane, thank you. jane with the exclusive. you tweeted, we trade.