Insider trading is a type of fraud that involves someone who operates within the stock market trading insider information about those stocks. It can involve someone having insider information about price-sensitive shares, dealing in those shares or encouraging another person to deal with those shares or passing the insider information to someone else.
Being accused for insider trading is a very serious allegation and carries severe consequences, including substantial fines and lengthy custodial sentences. These types of offences are often investigated and prosecuted by the Financial Conduct Authority, and so you should also be cognisant of the regulatory consequences of facing an insider trading investigation.
The possible defences for insider trading include:
- You did not think that you or the person doing the dealing would profit as a result
- You did not realise that you were acting on insider information
- You or the person doing the dealing would have acted the same way without the insider information
- It was reasonable for someone in your position to act in the way that you did relating to the information
Our team at Eldwick Law are experts in this area of fraud and can assist you with your case no matter its size or complexity.
If you are facing an insider trading investigation, please do not hesitate to contact our expert fraud defence solicitors.