FRIDAY, 11.00AM The insider trading task group, chaired by Mervyn King, has recommended plea bargains, civil sanctions for malfactors of three times the amount gained through insider trading and fines of R2-million or 10 years in prison.
The report was presented yesterday to the Policy Board for Financial Services and Regulations, appointed by the Finance Department. It defines an insider trader as one who has “price sensitive information through being a director, employee or shareholder of an issuer of securities or financial instruments or having access to such information by virtue of his employment, office or profession”, or someone who “knows that the direct or indirect source of the information was [such] an individual or person”.
Public comment has been called for before a June 30 deadline.