Mel Karmazin, CEO of Sirius, said nobody at the company has received subpoenas from the U.S. Securities and Exchange Commission in relation to its agreement to hire talk-show host Howard Stern.
Chaunce Hayden, a guest on Stern's show and an editor of Steppin' Out magazine, said he received an SEC subpoena seeking information about what he heard in Stern's studio around the time Sirius announced it would lure the radio personality away from Viacom Inc.'s Infinity unit.
Chaunce also took the opportunity to post a comment on Orbitcast to express his side of the SEC subpoena. He clearly states in his comment that he doesn't own any Sirius stock, so the question still remains as to why the SEC has issued him a subpoena. Remember, a subpoena doesn't need to be issued to someone who is just a stock holder, but can be issued to someone who has knowledge of insider trading.
Karmazin was quoted during a conference call as saying, "Sirius has absolutely no reason to believe that this matter involves Sirius or any action of its officers, directors or employees. No Sirius officers, directors or employees have received a subpoena."
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