From CNBC: 2024-06-03 17:47:10

E-Trade is considering banning Keith Gill, the meme stock trader known as “DeepF——Value” on Reddit, due to concerns about market manipulation. GameStop shares surged after Gill revealed he held 5 million shares and 120,000 call options. E-Trade, owned by Morgan Stanley, has not made a final decision on the matter.

Morgan Stanley’s financial-crimes unit is discussing whether to close Gill’s account amid suspicions of market manipulation. The brokerage discovered Gill purchased call options before posting on social media, potentially profiting from the activity. Gill, who faced lawsuits and backlash for his trading practices, previously worked at MassMutual.

The meme stock frenzy of 2021 resulted in congressional hearings and scrutiny of retail trading practices. Despite the controversy, Gill remained active in the market and maintained significant holdings in GameStop. E-Trade has not publicly commented on the situation, but internal discussions are ongoing regarding Gill’s trading activity.

Read more: E-Trade is debating whether to ban meme stock star Keith Gill: WSJ