U.S. Supreme Court rules for prosecutors in insider trading case
Source: Reuters
The U.S. Supreme Court on Tuesday made it easier to prosecute insider trading cases, ruling that tipsters who provide confidential information that enables friends and family to profit do not need to get something in return to have broken the law.
The justices, in an 8-0 decision, upheld the 2013 conviction of Bassam Salman, a Chicago man who made nearly $1.2 million trading on non-public information that came from his brother-in-law at Citigroup Inc. It was the court's first ruling in an insider trading case in two decades.
The justices held that someone who trades on non-public information provided by a friend or family member who got no tangible benefit in exchange still could be held liable for insider trading. They rejected Salman's view that he could be convicted only if his brother-in-law had received something like cash in return for any tips.
The ruling was a major victory for securities regulators and prosecutors, who for two years had been grappling with the ramifications of a ruling by a New York-based federal appeals court that some had interpreted as agreeing with Salman's position.
[font size=1]-snip-[/font]
Read more: http://www.reuters.com/article/us-usa-court-insidertrading-idUSKBN13V1YB
U.S. | Tue Dec 6, 2016 | 12:14pm EST
By Nate Raymond
= new reply since forum marked as read
