Insider Dealing Cases

Updated on Saturday 12th November 2022

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Insider dealing cases involve accusations of dealing while in possession of inside information, helping other individuals to deal with such situations and disclosure of information other than in the correct performance of one’s employment. The Financial Conduct Authority (FCA) is the central agency in charge of taking criminal or regulatory enforcement action against those accused of these kinds of offences. Our criminal defence solicitors in London offer proper guidance and legal assistance in cases of insider dealing.

The meaning of “insider dealing” in the UK

Insider dealing is the practice of operating information that has not been made public and gives the possibility to individuals to execute trading choices. It offers dealers an imbalanced benefit over others and most procedures of insider trading are unlawful. There is a large variety of techniques that insider dealing can be directed and here are the main situations:

- professionals who do business with the company, like brokers, bankers or paralegals are only a few of the advisors who have full admission to confidential documents of their corporate customers. They may choose to exploit this privilege as a chance to make quick money through insider dealing.

- employees or members of publicly dealt corporations are in main positions to access data that would not otherwise be accessible to the common public. Some of them can buy and sell securities founded on this information and hope to profit from it when the news is finally announced.
- corporate employees frequently share information within their own groups that is not shared with the broad public. Occasionally, these confessions are made unintentionally, but other times they are made with the purpose of permitting their friends or acquaintances to trade securities with a benefit that other financiers would not have.

The video below explains how insider dealing cases are seen in UK, and the defence we can offer in such situations: 


The meaning of inside information

Insider dealing offences are recognized as crimes in UK since 1985. Starting with that year, the authorities have developed the proper ways through which persons and companies can be punished. The starting point was the meaning of inside information or when such an issue crosses the legal line. As a short description, the definition of inside information involves the sensitive and important details about the shares and the financial status of a company which is passed to a third party before closing a deal. The information is offered in most cases by intermediary persons like brokers who activate in the business field. If accused of such crimes, persons should be aware of the fact that legal representation is mandatory, a matter where our criminal solicitors in London can offer support.

False accounting is a type of fraud for which those accused and found guilty can spend years in prison. However, evidence is needed in this sense, and if these are not concrete, accusations of this kind can be withdrawn. Here you need our serious fraud solicitors in London who have experience in such cases. We recommend that you get in touch with us and discover what are the legal methods of defence in your case.

Penalties for insider dealing cases in UK

Insider dealing cases are also known as market abuse which are punished in UK in accordance with the legislation in the country. Persons accused of market abuse may be imposed to pay fines or can lose the right of performing the activities of dealing the information to companies in UK. They can also be condemned through public reports made particularly in these cases. Companies involved in insider dealing cases can have the activities suspended for no more than one year, but sufficient to pay with the image of the firm if such accusations are made. The FCA is in charge of establishing the financial penalties for companies. Also, it is good to know that persons accused and found guilty of insider dealing offences in UK may face imprisonment of 7 years and unlimited fines.

Please keep in mind that our criminal solicitors in London can offer the necessary legal support for both individuals and companies accused of the accusations mentioned above.

Legal advice in cases of inside dealing

These kinds of criminal offences are punished with a maximum of 7 years detention or an unlimited charge.  Our defence solicitors in London will assist you if you are suspect in such case and will offer legal representation in case you are arrested and interviewed in a police station. Also, our team of advisors will provide you with proper information if you are subject to search warrants or have funds frozen by restriction orders. Our team of lawyers in London understands and studies the highly complex financial dealings and will work with experts or accountants if your case requires.

For extra information and suitable guidance in cases of insider dealing, please feel free to contact our defence solicitors in London.