Insider dealing - DTI fails to score
Article Abstract:
There has been a general lack of success in prosecutions of insider dealing in the UK. A successful conviction requires proof that a person has dealt securities on the basis of knowledge of unpublished, price-sensitive information, which is difficult to establish. The 1985 Companies Act's sanctions against insider dealing covers secondary insiders, a wider class of people who have access to information, including company accountants. Case law has held that it must be proved that secondary insiders exerted a positive and purposeful effort to obtain information rather than merely receiving it in a passive sense and has let passive insiders get away with using price sensitive information, neutering the 1985 Companies Act. The European Community Council of Ministers' draft directive preventing use of insider information gained from professional position for profit will require member state legislation.
Publication Name: The Accountant's Magazine
Subject: Business
ISSN: 0001-4761
Year: 1990
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Directors in the dock
Article Abstract:
New UK legislation, including the Insolvency Act of 1986 and the Company Directors Disqualification Act of 1986, has increased the exposure of directors of companies to the chance they may be personally held liable for wrongs that were previously attributed only to companies. The Insolvency Act introduced the concept of wrongful trading under which directors could be held liable, based not on intent but on whether a director continued trading despite the fact that a company was about to go bankrupt. Case law has held that company directors can be held directly liable for negligence and deceit when making misrepresentations; that company directors can be disqualified for general misconduct and indictable offenses, fraudulent trading, or breaches of company legislation; and that directors may be guilty of fraudulent trading for illegally laundering money through their organization.
Publication Name: The Accountant's Magazine
Subject: Business
ISSN: 0001-4761
Year: 1990
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Golf means big business
Article Abstract:
Golf is a major industry in the UK, and there is a number of new golf developments underway. In England and Wales, which have 1,723 18-hole golf courses representing one course for every 40,000 people, 300 new courses are either planned or under construction. Scotland has one course for every 13,000 people and only 55 new courses are planned or under construction. The trend of golf course development, pioneered in the US, is to create a championship course as an anchor for a development of associated properties, including hotels, time-share apartments, and exhibition centers. Golf developments increasingly are being opposed in Scotland as people seen them as Trojan Horses which are meant to open up pristine areas to related development, development that would be opposed on its own.
Publication Name: The Accountant's Magazine
Subject: Business
ISSN: 0001-4761
Year: 1990
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- Abstracts: Credit cards are here to stay. Sport is big business. Another kind of press freedom
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