DISCLAIMER: THE FOLLOWING "Cost of Freedom Recap" CONTAINS STRONG OPINIONS WHICH ARE NOT A REFLECTION OF THE OPINIONS OF FOX NEWS AND SHOULD NOT BE RELIED UPON AS INVESTMENT ADVICE WHEN MAKING PERSONAL INVESTMENT DECISIONS. IT IS FOX NEWS' POLICY THAT CONTRIBUTORS DISCLOSE POSITIONS THEY HOLD IN STOCKS THEY DISCUSS, THOUGH POSITIONS MAY CHANGE. READERS OF "Cost of Freedom Recap" MUST TAKE RESPONSIBILITY FOR THEIR OWN INVESTMENT DECISIONS.
BILLIONAIRE HEDGE FUND MANAGER FACING DECADES IN JAIL
CHARLIE GASPARINO: There are clearly going to be more people who are either going to cut deals or find themselves before a court trying to fight these charges. There's no doubt...this is the beginning of a longer process. The question is who is the ultimate target and all you have to do is talk to defense attorneys, people who are pretty close to the FBI and the Justice Department and just use common sense of look how they are doing these cases. And it's SAC Capital, which is a huge hedge fund run by Steve Cohen. We should point out that Mr. Cohen has not been charged with anything, he's received a subpoena, there's a lot of smoke, there's very little direct evidence that I've seen, but clearly when you look at how they do these cases, they do all these cases the same - mob cases, terrorism cases - they go for guys at the bottom and they reach up top, they look for an informant and clearly they're building a case around SAC Capital.
DAGEN MCDOWELL: You said mob cases and terror cases and that is what was a slam dunk for the prosecution. You rarely saw criminal charges brought for insider trading because it was so hard to prove, but not with wire taps. This opens the door for a whole new generation of cops on the beat trying to trap people on Wall Street.
CHARLES PAYNE: I think in trading this week it did put a little bit of a chill in trading. Even if you're running a hedge fund the right way and you use these so-called expert networks - how much of that material can you even feel confident about trading around? There's a question of that. But I think Raj was in a category by himself. To make the sort of phone calls that he made is just stupid. To buy BMWs and give them to people? This is just out and out, beyond, arrogant stupidity.
BEN STEIN: I've seen this story before and I don't understand why it's illegal. I don't see that he was breaching the trust of any stockholder. I don't see that he was violating any common law precept. I don't think what he was doing is illegal frankly. It did not move the stock market in general. It doesn't affect investors in general. Yes, if he were a top official at the company and he was trading on that information that would be one thing. He was not breaching any duty to his stockholders.
ADAM LASHINSKY: Here's the deal, obviously a judge and jury disagreed with you Ben. And here's the reason why - there's a perception out there that the stock market is rigged. And the reason people perceive it to be rigged is because of people who behave this way. This is a real victim for fairness and justice. There are rules, he broke them.
SOCIAL SECURITY AND MEDICARE TO EXHAUST FUNDS SOONER; POLITICIANS PUNT
DAGEN MCDOWELL: And lawmakers have been punting since at least the 1980s if not longer than that because what happens is we're running up against these drop dead dates and it's getting worse and worse. But you have a plan that comes out, any plan, Congressman Paul Ryan's plan and the American people say they want change, but they are not willing to sacrifice when it hits them in any way.
CHARLES PAYNE: I think most people out there understand the craziness of getting a new credit card to pay on the old credit card. The average person knows that. And I think the American public is so much smarter than they have ever been before.
BEN STEIN: I think we're going to have to raise taxes, nobody can bring himself or herself to do it. But we're going to have to do it eventually. They can cut, cut, cut, cut, cut - it's not going to work, they are going to have to raise taxes on high income people.
CHARLIE GASPARINO: You know how you know if the public is sick of raising taxes? A recent poll came out in New York state, young people are leaving because you know why - they are saying taxes are too high. People are leaving for lower tax places.
ADAM LASHINSKY: As I have before on this program, I will play the Reagan optimist. I am optimistic that we are talking so much about this. We're talking more about it, we're getting closer to solving the problem, not further away.
FIGHTING IN LIBYA COSTING THE U.S. AT LEAST $750 MILLION
CHARLES PAYNE: I would say OK, here's the check because this president has created some kind of a quagmire there, it's not unlike Portugal and Greece telling the rest of the EU to pay up. You're in this thing, you've already started it. It's amazing, we've put ourselves in this really awkward position and you know what, the president is probably going to have to pay them something otherwise he's already committed into this "war" against someone who was an ally a few months ago. The flip-flopping has put us in a position where the rebels can ask us for money and get it.
BEN STEIN: First of all, I don't think Libya was ever our ally to put it mildly. I would say - who the heck are you guys? We don't even know you, tell us who you are and who you support and what your positions are and then we'll think about it.
ADAM LASHINSKY: First of all, we have the money so it's not hard to reapportion the foreign aid we give to Pakistan or many others and give some to them. But of course we should be prudent about it.
DAGEN MCDOWELL: We made this commitment and it was essentially an open-ended commitment, we didn't know who the rebels were and now when they come back asking for more money we really have no choice but to say all right, take it.
CHARLIE GASPARINO: I think obviously we have to find out who these guys are, but to me this seems like it would be cheaper than putting the military there. Wouldn't it?
STOCKS FOR YOUR RETIREMENT
CHARLIE GASPARINO: Polycom (PLCM)
ADAM LASHINSKY: Wells Fargo (WFC)
BEN STEIN: iShares MSCI JAPAN (EWJ)