It is very tempting to make a large profit fast, with inside information. You knew about a merger before it was announced to the public, for example. You may not even be aware that you have committed investor fraud or an SEC violation. But widely-reported cases in the past few years have prompted the federal government to look for and prosecute such cases vigorously. Contact a United States insider trading lawyer today.
Under the Securities Exchange Act provision concerning manipulative and deceptive devices, “insiders” with a duty to disclose or abstain from trading generally include officers, directors, and majority or controlling shareholders.. However, the class extends also to other persons, provided they possess inside information by virtue of their position with respect to the corporation. It has also been held that a person is an insider only if he occupies a trusted position in the corporation and that the fact that an employee works with sensitive information does not necessarily make him an insider.
The Securities and Exchange Commission (SEC) may be scrutinizing your trading activity and building a case against you. They look for third parties, among others, not directly employed by the company whose stock they traded in, but in a position to use material nonpublic information to profit in the stock market.
Civil or criminal charges could be brought against you, and heavy fines and imprisonment are possible. These fines may be multiple times what you gained on your trades.
An insider trading violation requires proof not only that the defendant traded on the basis of material nonpublic information but also that in doing so he knew or should have known that he was breaching a fiduciary duty.
If you suspect you are under investigation, contact a lawyer immediately. Mr. Sanan will look at your case to see what could be considered insider trading. Do you know someone at the relevant company? Do your phone records or e-mails show contacts with that person or discussion of imminent company actions?
If you are contacted by investigators do not say anything without consulting with a lawyer. Mr. Sanan will advise you and handle your case discretely. He will negotiate with prosecutors and handle your trial if it comes to that.
Contact Nishay K. Sanan, Esq. promptly. He has 12 years experience handling a wide range of state and federal criminal charges with a focus on white collar and financial crimes.