In developing whether a has committed insider trading it is useful to begin at s1042B which questions the of the insider trading legislation of division” “application and whether it is applicable to this security. Since securities are a pursuant to s1042A under financial product 3 “Division which are defined in under financial Products means: (a) securities” s 761A (a) where it states that a security is security share in a body...or legal or equitable “a we can assume that any holdings are securities and right or interest in a security”; thus financial products. Therefore, s1042B (a) applies since it to acts or “applies omissions…to Division 3 financial products (regardless of where…issuer carries on a Since person whom is working within a company” information business)”. “a satisfies the definition of 1042A because it was inside information generally “not and it would of the security available” a material effect on the price or value” “have - pursuant with 1042C’s definition of and 1042D’s available” “generally “material definition then clearly in combination with s1043A(b), person whom is effect” – “a working within a company” has knowledge that is defined as inside information. Example with Chinese Wall in Place (if no Chinese Wall, B is – outside party) has told about the person whom is working within a company” B “a information that has been established to be and as per s1043A (2) inside information, which implies person whom is working within a company” should have “a “ought reasonably to (have) know(n), that the other person (B) would have or would likely....enter into an agreement to apply for, acquire, or dispose of relevant Division then has person whom is working within a company” 3 financial products” “a breached insider trading laws. The Merchant bank with both A and B work will also be liable, as it has breached the both ASX Market Rule 7.18.1 and Corporation Act 2001 s1043F due to its inability to stop the passing of inside known to persons included in one “information being made part of the business of the Market Participant” (directly or “available indirectly) to those in another part of the business”. Does Insider Trading include FUTURES?
In developing whether a has committed insider trading it is useful to begin at s1042B which questions the “application of division” of the insider trading legislation and whether it is applicable to this security. Since securities are a financial product pursuant to s1042A under “Division 3 financial Products means: (a) securities” which are defined in s 761A (a) under security where it states that a security is “a share in a body...or legal or equitable right or interest in a security”; we can assume that any holdings are securities and thus financial products. Therefore, s1042B (a) applies since it “applies to acts or omissions…to Division 3 financial products (regardless of where…issuer carries on a business)”. Since “a person whom is working within a company” information satisfies the definition of 1042A inside information because it was “not generally available” and it would “have a material effect on the price or value” of the security - pursuant with 1042C’s definition of “generally available” and 1042D’s “material effect” definition – then clearly in combination with s1043A(b), “a person whom is working within a company” has knowledge that is defined as inside information. Example with Chinese Wall in Place – (if no Chinese Wall, B is outside party) “a person whom is working within a company” has told B about the information that has been established to be inside information, and as per s1043A (2) which implies “a person whom is working within a company” should have “ought reasonably to (have) know(n), that the other person (B) would have or would likely....enter into an agreement to apply for, acquire, or dispose of relevant Division 3 financial products” then “a person whom is working within a company” has breached insider trading laws. The Merchant bank with both A and B work will also be liable, as it has breached the both ASX Market Rule 7.18.1 and Corporation Act 2001 s1043F due to its inability to stop the passing of inside “information known to persons included in one part of the business of the Market Participant” being made “available (directly or indirectly) to those in another part of the business”. Does Insider Trading include FUTURES?
Company_Law_Summary.docx