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Posted by on Feb 19, 2017 in Uncategorized | 0 comments

Defend Yourself against Insider Trading Charges

In 2003, a stockholder of biopharmaceutical company ImClone Systems was found guilty of insider trading. The guilty decision was based on her selling of her stocks afer she was tipped by a broker at Merrill Lynch that the chief executive officer (CEO) of ImClone Systems sold all his shares of the company. The convicted stockholder saved herself from losing as much as $45,673 due to her early sale of 4,000 shares of her stocks; she was, however, fined $30,000 and sentenced to five months imprisonment.

Insider trading refers to the unfair practice of making investment decisions based on non-public or undisclosed information about a company’s securities and/or stocks. An insider, who has access to valuable non-public information on stocks or other securities of the corporation where he/she is employed or connected, can be a person, like a broker, a client, a key employee, an executive, a director or a major owner of stock; it can also be another entity, though, like a bank, a law firm or a government institution. Insider trading is illegal because, first, it gives tipped individuals a definite market advantage over common investors and, second, it violates the trust investors place in the securities market and undermines a sense of fairness in investing.

According to the website of the U.S. Scurities and Exchange Commission (SEC), “Illegal insider trading refers generally to buying or selling a security, in breach of a fiduciary duty or other relationship of trust and confidence, while in possession of material, nonpublic information about the security. Insider trading violations may also include “tipping” such information, securities trading by the person “tipped,” and securities trading by those who misappropriate such information.”

Insider trading, however, is not always considered illegal. “The legal version is when corporate insiders, officers, directors, employees and large shareholders, buy and sell stock in their own companies. When corporate insiders trade in their own securities, they must report their trades to the SEC. Many investors and traders use this information to identify companies with investment potential, the theory being, if the insiders are buying the stock, they must know more about their company than everyone else, so it is a good idea to buy the stock.”

The SEC monitors illegal insider trading activities by looking at the trading volumes of stocks. Volume of stocks usually increases after information on company securities is released to the public. If volumes increase dramatically, however, despite absence of public information, this will be interpreted by the SEC as a warning flag. This will then be investigated by the SEC to find out if illegal insider trading was committed.

As explained by the law firm Horst Law, acts of securities fraud are investigated by the Securities and Exchange Commission. Due to limited resources, the SEC is not able to effectively prevent securities fraud, but instead reacts to cases after they occur. As such, it is not uncommon for people to contact a criminal defense attorney before charges are even brought simply because they have become the target of an investigation. Many times, seeking help early can prevent charges from being filed in the first place.

Once you come to know that insider trading charges have been brought against you, you should immediately begin working with an experienced lawyer to develop a legal strategy that will challenge and combat those charges.

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Posted by on Oct 21, 2016 in Uncategorized | 0 comments

Divorce Alternatives: Learning More About the Collaborative Divorce Process

Anyone who has ever gone through a divorce will know just how emotionally exhausting an experience it can be. Even couples that start the process amicably often end up in serious disagreement over issues such as property division, alimony, and child custody and child support payments. Fortunately, couples going through such contentions in their divorce process can look to several different options for a solution.

A collaborative divorce process is among the many options available for couples who find themselves stuck in an impasse regarding certain issues. Collaborative divorce is an especially helpful solution for spouses looking to maintain a friendly relationship with one another. Unlike traditional litigation, a collaborative divorce fosters an environment where couples can communicate and negotiate openly in order to work through disagreements as amicably as possible. The process begins with each spouse hiring qualified divorce attorneys who will then be present in every step of the way in order to offer assistance and provide appropriate counsel. The term “collaborative” comes into play because the entire process involves the participation of both spouses and each of their legal representatives.

For Marshall & Taylor, P.C., collaborative divorces can be particularly advantageous due to the numerous benefits it can offer. For starters, a collaborative divorce can be resolved far more easily and in less amount of time than a divorce that is settled through court. It also allows the couple far more control over the outcome of their divorce process, relieving them of the usual sources of stress and anxiety in such situations. Best of all, the whole process is significantly less expensive than traditional divorce options.

If you and your spouse have decided that a divorce is the best course of action for you and your family, you might want to consider going through a collaborative divorce to ensure a less turbulent process. Contact a qualified divorce lawyer to learn more about collaborative divorce and other available options.

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