GE pointed out that Markopolos gave an unnamed hedge fund he is working with access to the report ahead of time. Markopolos said he has given the report to securities regulators and that certain information he has uncovered has been given to law enforcement only, and is not in the public report.
A disclaimer on the website read: “Prior to the initial distribution of this Report on August 15, 2019, the Company entered into an agreement with a third-party entity to review an advanced copy of the Report in exchange for later-provided compensation. That compensation is based on a percentage of the profits resulting from the third-party entity’s positions in the securities, derivatives, and other financial instruments of, and/or relating to, General Electric Company (“GE”) (NYSE: GE). Those positions taken by the third-party entity are designed to generate profits should the price of GE securities decrease.”