Insider Abuse: A Plea for Criminalisation

Insider dealing is a young offence. The Securities and Exchange Act came into force in the US in 1934 and insider dealing was made a criminal offence in various European countries during the past 25–30 years. In 1987 the European Commission submitted to the Council a proposal for a directive to coordinate the regulations on insider dealing, which ultimately resulted in the Council Directive coordinating regulations on insider dealing (89/592/EEC). Finally, the Convention on Insider Dealing was signed in Strasbourg on 20th April, 1989.