The Street: Sokol Situation ‘Pathetic’: Wall Street

NEW YORK (TheStreet) — Wall Street professionals argue that Berkshire Hathaway’s (BRK.B) David Sokol should not just get a slap on the wrist from regulators over questionable stock purchases.

“I think it is pathetic that he is going to get away with it,” said David Franasiak, principal Williams & Jensen. “From what I have read in the papers it is a very fishy situation,” added Clark Camper, senior vice president and head of government affairs at NYSE Euronext (NYX).

Both men made their comments at the annual conference of the Securities Traders Association of New York on Thursday.

“I’m not in a position to comment,” said Kenneth Bentsen, executive vice president, public policy and advocacy, SIFMA.

Franasiak added that Berkshire’s last insider trading mishap comes on the heels of its Goldman Sachs(GS) debacle, and that the firm should have been prepared.

“It would seem to me that everyone’s antennas would be up. This is obviously something that has happened before,” said Franasiak. “I would be cautious to buy Berkshire right now, even though I don’t think technically there will be any legal action against him or the company.”

Former Goldman Sachs director Rajat Gupta had civil insider trading charges filed against him by the Securities and Exchange Commission earlier this month in regards to Berkshire’s 2008 stake in the venerable investment bank .

Sokol, who was top candidate for successor to CEO Warren Buffett, resigned Tuesday. Sokol had purchased shares in Lubrizol(LZ) shortly after setting up the meeting with Citigroup(C) to advise Buffett on acquiring the company.

Written by Maria Woehr for The Street in New York.