The road to Martha Stewart's downfall:

Martha Stewart, an American master of home life who built a media kingdom across print, electronics and the Internet by providing all kinds of home food and creative ideas, was found guilty of all four charges by a jury in Manhattan, new york, on May 5th for allegedly lying to investigators in a stock market insider trading case, and may face the fate of imprisonment.

after this news was announced, the stock of imclone company fell sharply. Stuart's former stockbroker, Bakanovich, 41, was charged with conspiracy, perjury, making false documents and obstructing justice, but the jury found that the crime of making false documents was not established. Stewart and Bakanovich argued that they had reached an agreement to sell stocks when they fell below $61.

But the federal government thinks this is a fabricated story. The real reason for Stewart's stock selling is that she learned from his agent that the CEO of imclone is preparing to sell his stock and other inside information. The CEO of imclone later admitted that selling his shares was based on the decision made by the Food and Drug Administration. He was sentenced to seven years in prison for insider trading.

Stewart was not convicted of insider trading, but accused her and her agent Bakanovich of lying about the transaction and changing records to support their stories. The federal government may now force Stewart to leave the board of directors of the company she founded. Stewart resigned as CEO when he was sued, but he remained on the board of directors.

Extended information:

Martha's company has a variety of business items, such as running magazines, making TV programs and selling various products such as knives, garlic patting devices, pillows and sheets. Undoubtedly, this judgment poses a great threat to the media kingdom carefully established by Stewart. Marketing experts say that because her company is closely linked to her name, if Stewart leaves, the company's business will be seriously affected.

retail experts point out that even if Martha Stewart is no longer used as a trademark or company name, its household goods brand may be devastated. Within one hour after the court announced the verdict, Martha Stewart Life Multimedia Company issued a statement.

said that the board of directors will be convened immediately to carefully evaluate the situation and take appropriate actions. "The company is confident that it can continue to be a leading brand. The New York Times pointed out that the actions the company is considering include renaming its magazine and even the whole company.

Observers believe that it is difficult to continue to use the convicted Martha Stewart as the company brand, and the competition among peers has become more intense since Ms. Stewart was involved in a lawsuit one year and ten months ago.

A spokesman for wcbs, the main television station of CBS, said that the company would withdraw its program "Life in Martha Stewart" from March 8th. The share price of Martha Stewart Life Multimedia Company closed down by 23% after the verdict was announced.

Baidu encyclopedia-Martha Stewart