I just wonder how a financial reporter can be in such a close relationship with an investor for such a long time period. More puzzling is Bloomberg is not concerned, or as reported. I do not know the whole story. But a lot of funny guys out there. Billy Hwang, Greensill Bank, Sanjeev Gupta and a lot more.
When I worked for a large bank, they emphasized employees and the bank might be liable for an employee or contractor passing material, nonpublic information to anyone that wasn't supposed to know it. So the reporter and Bloomberg might be in trouble too. https://www.americanbar.org/groups/business_law/publications/blt/2011/08/01_johnson/
Yes. If a Bloomberg news reporter has been involved in anything like this, Bloomberg should have done its own investigation and report the results. There may be nothing wrong with this. But they should withhold its highest integrity and build the trust with viewers. All financial reporters from large news outlets should know that.
My understanding is that they are doing exactly that right now. But it appears weird that a journalist of his stature would wine and dine with a dubious investor/trader.
So far this is the best we got as far as legal goes. Yes, in your example it is obvious, but in most cases it is not, and everyone deserves their day in court. Otherwise what is the alternative? Drown the witch, and if she drowns she is innocent and if not she is a witch.
I wonder what would happen if instead of leaking the news to Bloomberg, he instead anonymously posted it online to forums like 4chan and reddit. Then only enter his position minutes after posting the information. Within a few hours news sites would probably pick up the info and have the same impact as leaking to Bloomberg, but he would have deniability and say that he has an "AI" that scans social media for information, and he only traded on public info.