Share on LinkedInShare on LinkedIn

ARTICLE · 22 AUGUST 2013

SEC Charges Insiders Who Traded In Derivatives Mirroring Underlying Stock

Borden Ladner Gervais LLP
Borden Ladner Gervais LLP
Contributor
Borden Ladner Gervais LLP

Borden Ladner Gervais LLP

With over 750 lawyers, intellectual property agents and other professionals, BLG services...

View firm profile
Explore more from Borden Ladner Gervais LLP

The SEC has charged two senior bankers at Madrid-based Banco Santander SA and a retired Spanish judge who traded on confidential information about BHP Billiton's proposed acquisition of Potash Corp.

CanadaCorporate/Commercial Law

The SEC has charged two senior bankers at Madrid-based Banco Santander SA and a retired Spanish judge who traded on confidential information about BHP Billiton's proposed acquisition of Potash Corp. The bank was advising on the acquisition. The three did not trade in Potash shares, but instead in contracts for difference not traded in the US but based on the underlying price of US-traded Potash stock.

Note that the insider trading provisions of the Securities Act (Ontario) define a security of an issuer to include 'a related derivative' (s 76(6)(c)); and see Re Suman (OSC, 19 March 2012).

http://www.sec.gov/News/PressRelease/Detail/PressRelease/1370539737461

About BLG

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

See more popular content from