The Law Office of Jeffery A. April, Esquire
contact us for quick responses to your legal questions
Toll-free: 800-724-7232 Local: 609-736-2203
E-Mail Us Today Click Here

Are you familiar with insider trading?

Like many, you share the goal of making money in the stock market. You realize that there is money to be had, so you're willing to do whatever it takes to put yourself in position to succeed.

Unfortunately, it's this approach that leads many people down the wrong path. Insider trading is an illegal activity that can result in a serious punishment in the event of a conviction.

Generally speaking, illegal insider trading refers to buying or selling a security as the result of access to non-public information. Some common examples of this include:

  • Corporate officers or employees who trade securities after learning of confidential company developments.
  • Friends or family members of company executives who use inside information to make trading decisions.
  • Anyone who takes advantage of confidential information from their employer.

Due to the fact that insider trading can have a big impact on the securities markets, the SEC is very serious about this crime. For this reason, they're always on the lookout for insider trading violations.

There is a lot of gray area in regards to what is and isn't considered insider trading. For example, you may think that you're making a decision based on common knowledge; however, it could result in a charge of insider trading.

If you find yourself in this position, you need to learn more about your charges, your legal rights, and the defense strategies you can use to avoid the most serious punishment. A charge of insider trading is a big deal, but it doesn't necessarily mean you're guilty. There are steps you can take to clear your name.

Source: U.S. Securities and Exchange Commission, "Insider Trading," accessed Feb. 16, 2018

No Comments

Leave a comment
Comment Information

200 South Shore Road
Marmora, NJ 08223

Toll Free: 800-724-7232
Phone: 609-736-2203
Fax: 609-390-9363
Marmora Law Office Map