Allegations of insider trading are serious criminal allegations that accused individuals should take seriously. That is because they can result in serious criminal penalties and consequences for accused individuals.
Securities fraud refers to a group of crimes that typically involve a false statement that is made about a company or value of the company's stock and others make financial decisions based on that false information. One example of securities fraud is insider trading when company insiders such as executives, board members or others trade stocks based on information unavailable to the public which is why it is helpful to be familiar with all of the different types of securities fraud, including insider trading.
Securities fraud can lead to serious potential penalties and consequences for accused individuals facing securities fraud charges. As a result, it is worthwhile for those impacted by securities fraud to be familiar with the different types of securities fraud and how the legal system handles securities fraud. As a type of white collar crime, securities fraud is not treated lightly.
Many of us have heard the term "securities fraud," but you may wonder what it refers to. Accusations of securities fraud can result in serious potential penalties and consequences, which is why it is important to understand what securities fraud is.
Securities fraud is a white collar crime. As such, it can easily be written off by someone as "something that would never happen to me." However, that is not always the case, and this type of fraud may be happening closer to home than you think.
With cryptocurrency transactions hitting an all-time high in recent months, it's inevitable that we would also see some instances of fraud. Such is the nature of financial booms and regulations, there is a check and balance that often happens between new business and government regulations. Alabama, along with several other states, have sent cease and desist letters to five cryptocurrency companies suspected of violating securities fraud laws, as part of a wider crackdown known as "Operation Crypto-Sweep."