Morality 3. Common law 4. Contract 1. The buying or selling of stocks by business insiders on the basis of information that has not yet been made public is 1. Insider trading 2. Business broking 3. Hedging bets 4. Whistle blowing 1. The SEC is the 1. Securities and Exchange Commission 2. Securities and Exchange Counsel 3. Social Excellence Committee 4. Social Expense Commission 1. Which theory of insider trading did the U.S. Supreme Court endorse in 1997? 1. The misappropriation theory
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Current insider trading law is a theoretical mess. Legal experts have described it as seriously flawed, ill-defined, inconsistent, dysfunctional, and an enigma. A recent paper posits a new theory of insider trading which may provide some coherence what is now a dog’s breakfast. For those in investment research, any improved clarity would be a godsend. Sung Hui Kim, a law professor at UCLA, released a paper last month titled “Insider Trading as Private Corruption” which argues that insider trading
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2d 477 (D.N.J. 1998) dealt with whether corporate insiders traded in the securities of his corporation on the basis of material and nonpublic information. The defendants participated in multifaceted fraud schemes for the purpose of artificially inflating the price of stock, selling their substantial stock holdings to an unwitting public, and profiting in excess of $20 million. The court stated that shareholders of a corporation and those insiders who obtain confidential information by reason of their
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1.) Because of the fact thatBL Gupta revealed the undisclosed profits of Goldman Sachs to another person, he is being tried for insider trading. The undisclosed profits of Goldman Sachs could affect the value of its stock. If the profits were up, then Raj would have been able to buy stock and then when the profits were announced, would be able to sell it and make money. If Raj already had stock, then he could have sold it then, and wouldn’t incur the loss if Sachs’s profits went down. He could
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Illegal insider trading is when nonpublic corporate information has influenced a trade when someone buys or sells. When someone uses this information it allows them to gain an unfair advantage over other investors causing the market to gain or lose money. If insider trading were allowed then people that invested would no longer feel confident to invest. The legal way to gain an advantage over other investors would be for them to obtain skills in analyzing and understanding accessible information
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important issues covered by the Securities Exchange Act concerns illegal insider trading in which individuals sell or purchase investments based on privileged inside information. Illegal insider trading activities significantly harm the integrity and stability of the securities markets. Thus, it is critical for people to understand and adhere to the requirements set forth by the Securities Exchange Act to prevent illegal insider trading, and it is equally important for those individuals who break the
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ACCT 212 Final Exam Ratings: (0)|Views: 472 |Likes: 0 Published by ssdasdasdas See more ACCT 212 Final Exam / FinancialAccounting Click this link to get the tutorial:http://homeworkfox.com/tutorials/business/15355/acct-212-final-exam-financial-accounting/ 6. (TCO 6) Depreciation is a process to allocate the cost of long-life assets to each period'sincome statement and adjusts the value of the asset on the balance sheet. (1) Explain how thestraight-line method is computed (10 points) and
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Amongst some of the most famous and successful business women in America, Martha Stewart has been recognized for her successful business ventures in broadcasting, merchandising, publishing as well as a spokeswoman. Martha Stewart is a self-made entrepreneur with a fixation for money and never having enough. Stewart is a relentless workaholic who wished to earn every penny possible. Martha Stewart was known to be rude, profane, impatient and self-centered. Her coworkers had witnessed her fits
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Describe the charges that were brought against the subject in the original indictment. Charges against Martha Stewart and her broker Peter Bacanovic: According to Associated Press (2003) “Count 1: Conspiracy, filed against Martha Stewart and Peter Bacanovic. Conspired together to produce false information in the stock scandal. Maximum penalty: 5 years in prison, $250,000 fine. Count 2: False Statements, filed against Bacanovic. Lied claiming he spoke with Stewart and she told him to sell
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White-Collar Crime SOCI 225 Instructor: John Casey Student: Date: April 14, 2012 Table of Contents Introduction 3 What is White-collar Crime? 3 Workplace Safety 4 Fraud 6 Sentencing 9 Conclusion 10 Endnotes 11 Introduction Crime is such a general word, and describes a whole conundrum of activities that are seen as unlawful. The oxford dictionary defines crime as “an action of omission which constitutes an offence and is punishable by law”. There are many different types
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