The founder of Blue Index Ltd. received the longest-ever U.K. insider-trading sentence after prosecutors said he spent the proceeds of the crime on a 35,000- pound ($55,000) wine cellar and other luxuries.
U.S. House members criticized regulators yesterday for failing to detect JPMorgan Chase & Co.’s loss of at least $2 billion on risky derivatives trades and pressed for additional measures to ensure similar losses don’t occur in other banks.
The U.S. Securities and Exchange Commission sued a former Deloitte Tax LLP partner and his wife for passing confidential information on mergers and acquisitions to family members, who allegedly reaped millions of dollars trading on the tips.
Last month, lawmakers from the ruling Democratic Party of Japan announced they will convene a panel to figure out how to stop an insider-trading problem they have been working on since 2006. Traders, operating on inside information, have been short selling shares of companies just before new equity sales are announced, which often causes the company’s share price to fall, then covering their short position by buying shares back at the new, lower price.