How are you protecting your organization and employees from the temptation of insider trading? Just recently, an employee at a major national law firm was arrested for insider trading when he traded in the stock of a number of his firm's clients. This is the firm’s second high-profile run-in with insider trading in the last few years, exposing the firm to significant negative publicity and creating life-altering consequences for the people involved.
Simply put, some businesses just offer more opportunity for insider trading than others. Employees are routinely exposed to term sheets, deal terms, letters of intent, and other confidential information regarding business deals that could affect the public stock market.
If your employees worked in a mine, wouldn’t you give them hard hats for safety? In this case, your employees are exposed to tempting market-moving secrets all day long — shouldn’t you give them a bit of protection so they don’t do something foolish?
Many businesses have policies in place addressing insider trading, but the sad truth is that many people don't understand or even read them. Even if they do read them, the policies often don't do a good job of conveying the real career (and life-altering) danger of insider trading.
To help you and your employees lower your insider trading risk, we've created a 2-minute video that can easily be shared via email and social media. Let's spread the word on this growing problem and show people it's not worth the risk.
We've also made sure you have direct free access to a preview of the Insider Trading course I helped develop with the ethics & compliance folks at Emtrain. The full 20-minute online course has lots of great video examples, along with FBI recordings and deposition testimony of actual cases to give your team everything they need to understand insider trading and its consequences.
An expert in corporate governance and white collar criminal matters, Tim regularly advises corporate boards and executives on topics such as: insider trading, securities violations, accounting fraud, and other corporate crimes. As a former Chief of the Securities Fraud Section of the U.S. Attorney’s Office in San Francisco, Tim was the lead prosecutor in a number of high-profile criminal trials of senior corporate executives in Silicon Valley. Currently, he is a partner at Coblentz Patch Duffy & Bass, where he heads up the firm’s White Collar Defense and Government Enforcement Practice Group. As a trial lawyer, he focuses on investigations and cases brought by criminal prosecutors, government regulators, and shareholders in white collar, securities, and corporate governance matters as well as internal corporate investigations..