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Insider trading by Goa Government ministers
Insider Trading
"Insider trading" is a term that most investors have heard and usually
associate with illegal conduct. But the term actually includes both legal
and illegal conduct. The legal version is when corporate insiders-officers,
directors, and employees-buy and sell stock in their own companies. When
corporate insiders trade in their own securities, they must report their
trades to the Stock Exchange.
Illegal insider trading refers generally to buying or selling a security, in
breach of a fiduciary duty or other relationship of trust and confidence,
while in possession of material, nonpublic information about the security.
Insider trading violations may also include "tipping" such information,
securities trading by the person "tipped," and securities trading by those
who misappropriate such information.
Examples of insider trading cases that have been brought by the Stock
Exchange are cases against:
· Corporate officers, directors, and employees who traded the
corporation's securities after learning of significant, confidential
corporate developments;
· Friends, business associates, family members, and other "tippees" of
such officers, directors, and employees, who traded the securities after
receiving such information;
· Employees of law, banking, brokerage and printing firms who were given
such information to provide services to the corporation whose securities
they traded;
· Government employees who learned of such information because of their
employment by the government; and
· Other persons who misappropriated, and took advantage of, confidential
information from their employers.
Most recently one Goan Banker in United States was charged and penalised for
indulging in insider trading.
Most Goan ministers have indulged in insider trading and benifited by
acquiring real estate where future development was to take place which they
were aware of.
Goa Bachao Andolan resulting from Master plan 2011 is the result of
possible non existence of such laws preventing Government ministers and
officials from gaining pecuniary benefits or non-implementation of the
existing laws.
Most talked about such misuse are:
--Land acquired by kith and kin of ministers on MPT- Verna Highway near
Zuari.
--Land acquired by kith and kin in Canacona.
-- Land acquired by kith and kin on Ponda-Margao-Panjim highway.
All such transactions should be investigated and legal action should be
taken.
Manoj Raikar
