Martha Stewart on Prison: I Lost $1 Billion

by Slashfood Editor, Posted Nov 20th 2009 @ 1:30PM

Photo: Mario Tama, Getty Images

Martha Stewart says her five-month prison sentence cost her $1 billion.

Speaking with "Nightline," Stewart says the "legal mess" was devastating to her personal worth.

"Oh, it's inestimable -- probably more than a billion dollars, of course, and if you add in what the company was worth, absolutely," Stewart says. "And I'm a major shareholder in the company. When you are prosecuted in such a way and a great portion of wealth is dissipated, all I could think so much is 'What I could have done with all of that for the good of mankind?'"

"Nightline" followed Stewart for a day in a news piece that aired Thursday. In it, Stewart dishes on Rachael Ray as well as her 2004 legal troubles.

"I knew we had a really good thing going, and I really knew that I was not guilty of anything that could possibly harm my company," Stewart tells Cynthia McFadden. "I was pissed, OK? Pissed that something could actually affect that. The company had nothing to do with anything, but yet because I am the face and the brand -- my person -- it certainly had a harmful effect."

She says she's put that period of her life behind her.

"How can I kick myself?" she says. "There are other people to be kicked. Enough. Let's get on with the future."

Filed Under: Business, Television/Film, Food News, Celebrities
Tags: cynthia mcfadden, CynthiaMcfadden, martha stewart, MarthaStewart, nightline, prison

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Reader comments (Page 1 of 3)

11-20-2009 @2:22PM Lily Latoza said... MARTHA STEWART IS JUST JEALOUS OF RACHEL RAY. RACHEL IS PRETTIER, YOUNGER, WARMER & BETTER LIKED BY EVERYONE!! SHE DOES NOT PROFESS TO BE A BETTER BAKER OR COOK BUT MARTHA IS SO FULL OF HERSELF THAT SHE CONSTANTLY BRAGS & PATS HERSELF ON THE BACK FOR WHAT SHE DOES & KNOWS. NEVER MIND THAT HER MOTHER HELPED HER KICK OFF HER BAKING SKILLS IN THE BEGINNING OF HER TV CAREER..NO CREDIT DID HER MOTHER EVER RECEIVE FROM HER. ALSO SHE IS A MISERABLE STINGY HATEFUL HUMAN BEING. HER ENTIRE STAFF AND ANYONE SHE HAS WKG FOR HER DESPISES HER!~!
THE WOMAN WHO MADE HER THAT SHAWL IN PRISON HAS CANCER & SHE CHOSE TO IGNORE HER ONCE SHE GOT OUT OF PRISION...NICE, HUH~ LOOK AT HER FACE REAL GOOD. WHAT DO YOU SEE? SHE IS CHEAP TOO; DOES NOTHING FOR ANYONE OR ANY CHARITABLE ORGANIZATION
AT ALL. SHE DOESN'T GET ALONG WITH HER DAUGHTER EITHER....SIGNED : ~LILY~
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11-21-2009 @6:25AM westronandnan said... I'm gonna call horse hockey on all of that! If she hadn't been so greedy and tried to slip by the insider trading transaction, it'd never have happened. And, if you think she'd have taken all that money and done something wonderful for humanity, getouttahere!
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11-21-2009 @6:59AM Bubba said... Martha got what she deserved as she is
ONE NASTY _ITCH !!!
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11-21-2009 @7:42AM norman said... martha needs to go far, far away and never be heard from again.
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11-21-2009 @7:59AM M16madness said... THIS IS NEWS???..People are losing their jobs left and right. What's this about??..Make "Us" feel sorry for her?? Maybe convince the brainwashed people controled by the media that "Justice was Served" She is still LOADED WITH CASH!!! The good of mankind!!!..Utter B.S.!!..Martha likes Martha..and profit!!!..Poor Martha, Defines herself with profit..Waaaaa..Waaaa..Waaaaa.Just a poster face for American greed..PS Rachel Ray has a FAR BETTER personality and and VERY pretty. BEYOTCH!!!
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11-21-2009 @8:07AM M16madness said... Interesting Lilly, I met a person years ago who had friends who were contractors work on her home in CT. Her said she nickel and dimed everything and was cheap, But she won't think twice about spending millions on a house.
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11-21-2009 @11:57PM sieben13 said... When you are prosecuted in such a way and a great portion of wealth is dissipated, all I could think so much is 'What I could have done with all of that for the good of mankind?' had she not been prosecuted ,would she have given a BILLION to mankind ????
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11-21-2009 @8:11AM Katherine said... Martha was on top of her game for several years before this prison stint. Her popularity may have dwindled anyway as generations grow older. After all, she pandered to baby boomers. How many times can she tell us how to bake a better chocolate chip cookie? or decorate for Halloween? I would agree that prison diminished her brand significantly and in one "fell swoop" but it probably would anyway!
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11-21-2009 @8:40AM Me said... Her investors in company, MSO lost WAY more than her $1,000,000,000. Boo-hoo on her!

Also - the investment that she was convicted of insider trading on(I can't remember the company's name at the moment), would have only lost her $250k (at most).
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11-21-2009 @12:05PM LARRY GODDEN said... SHE Should STILL Be In JAIL=She Defrauded Lots of People By Her Illegal Methods=Every Dollar She Gained was Lost byThousands of Others whoWatched as their Stock=SavingsCrash That's why It's Illegal=She
Defrauded Thousands&Should Have NEVER Been Allowed Back on T.V=She is NOT aVICTIM=The VICTIMS LOST Their Savings&Retirement Money=Now She Claims it's a VICTIMLESS CRIME?Put Her BACK In JAIL& Off TV.
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11-21-2009 @9:00AM joehayesii said... Nobody to blame but yourself....you,cost you a
billion. TMI
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11-21-2009 @9:01AM Richard said... Martha Stewart shouldn't have done what she did, but has paid too high a price for it. She should have been sentenced to 6 months Community Service, which would have benefitted everyone! I was plesed when she was interviewed by Neil Cavuto about the Rich having their tax rate raised, and her response was that she didn't mind paying more tax, as it was the Patriotic thing to do! Good for her! She is a true Patriot! Other Rich people she follow her example!
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11-21-2009 @10:08AM anchen84 said... We studied her case in my business ethics class, read the timeline, everything. From the look of things, you really can't prove 100% that she engaged in insider trading. She hung out with hers and other brokers, as well as with CEOs of different companies, socially, but she's a wealthy lady, so it's normal. I don't think it's ok to prosecute people for hanging out with their friends and making business decisions. Nothing in the facts suggests that she received information she was not supposed to receive from them.
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11-21-2009 @9:20AM E.C. said... She thinks her prison sentence hurt humanity. That's funny. As if she would have used that money for the good of mankind. It would have gone for the private jet, the properties, the 5-star lifestyle for her dogs.
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11-21-2009 @9:21AM goatboy said... This is horrible! To all of you heartless people, grow up! Martha is still in a bad place emotionally and we need to comfort her. Had I known the extent of her misfortune, then, I would have formed a support group for marvelous Martha. Perhaps we could have gotten enough donations to help this wonderful lady recoup some, if not all, of the money she lost. This is devastating news for me and I know for most good folks out there. We love you, oh dear sweet lady! Walk with the Angels sugar muffin. The only thing left for us to ponder, is just how a cold hearted sociopathic bitch like yourself can look in a mirror without it cracking. If your family had little food and was starving, you'd think nothing of slaughtering and eating your young. After all of this time, you finally pipe up about the horrors of prison and all that your shallow evil brain can say is that people should feel sorry for you because you lost a billion dollars. You mentally ill cow! I believe that the only reason that anyone in your position would ever come forward with this unGodly information is because you are so vain, that you want everyone to know how wealthy you are, what a bigshot you are, and what a vain, despicable, and calculating nutjob, that you are. That heart made of ice will melt quickly, where you are going lady!
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11-21-2009 @9:23AM nashasmom said... I AM SO SICK OF HEARING ABOUT POOR MARTHA, SHE DONE WRONG AND IF SHE LOST LOTS OF MONEY ( GOOD ) SHE DONE WRONG AND SHE STILL WANTS US ALL TO THINK SHE IS SUCH A SMART PERSON, I PERSONALLY BELIEVE SHE DIDNT GET WHAT SHE SHOULD HAVE, HER CAMP CUPCAKE IS JUST DOWN THE ROAD FROM MY HOME AND SHE USED WHO SHE WAS AND WHAT SHE WAS TO GET THROUGH HER SHORT STINT. SHE NEEDS TO STOP CRYING HOW GREAT SHE IS AND STOP BASHING ANYONE WHO SHE IS AFRAID IS GOING TO ACTUALLY ( WORK ) THERE WAY UP, AND BE GREATFUL THAT SHE DIDNT LOOSE EVERYTHING SHE HAS AND JUST GO ONE WITH HER LIFE. SHE TALKED ABOUT DOING GOOD FOR MANKIND, SORRY I BELIEVE IT WAS REALLY MENT FOR ( MARTHAKIND )
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11-21-2009 @3:56PM RONALD WEAVER said... Insider trading goes on undetected daily with billions being stolen from honest traders who loose when the stock tumbles if insider news is bad and missout on the gains if insider news is good. Most don't get caught but examples must be made when a insider trader does get caught as a deterant. Much is being done since the stock market crash to improve detection of these thieves.
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11-21-2009 @10:58AM Steve Harkness said... Go Martha Stewart! I must admit I didn'y like you or your show until you came out of prison and showed your John Wayne style "True Grit." Any less of a person would of been down for the count.

In fact, I am drawing strength from you right now for something that's going on in my personnel life that's small potato's (notice all I didn't spell that with an e on the end....sorry Dan Quale) compared to your past problems. I am being threatened to have my unemployment insurance canceled and being forced to pay back what I have already received. Man at first this was a punch right in the stomach. I worked in the mortgage business and there is no work. I file for unemployment am granted it. I make my three job searches a week plus and counsel people on how not to loose their homes pro-bono on the side. I was tired of seeing people being ripped off by these supposed loan modification companies. I haven't met one yet that's not a sham and don't get me started on Acorn. Thank You Martha for sharing your story because it gives me strength to fight the bean counters. By the way. I still don't watch your show being a 48 year old male. It's just not my thing, but I like you, and would buy stock in your company.
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11-21-2009 @10:29AM rhdaspin said... RE: MARTHA STEWART

It was ridiculous to jail her ,and Im not necessarly a fan of hers.
She was jailed for lying about insider trading which they didnt have enough evidence to prove same "SO WHAT DID SHE LIE ABOUT?'
They should have fined her The 1 BILLION DOLLARS and given it to the needy and homeless in our country.
OR set up a charitable trust which could be managed
and help those people forever.

RHDaspin
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