Corporate Crime and Insider Trading

Corporate Crime and Insider Trading

What is Corporate Crime?

            Corporate crime involves the crimes that are committed by the entire company and this type of crime benefits the investors or the people who are in the high ranks, for instance, those in the management in the company. Writers who offer law essay help at Edudorm essay writing service notes that insider trading refers to the purchasing or selling of stock by someone who has access to special knowledge while the same information is not available to the public and in this case the investors. They are all similar as they are all involved in crimes that are occurring in the business world.

Differences between Corporate Crime and Insider Trading

            The difference between corporate crime and insider trading is that the insider trading is one of the white collar crimes and it benefits the individual who has committed the crime while the corporate crime benefits the entire company or the organization that is more than one person.

Examples of These Crimes

            For example, Rajat Gupta who was a high-ranking executive was arrested for insider trading as he had some information that other investors did not have and thus he shared this information with a tycoon who made a treasure at the expense of other investors who had no access to this information (CBS 2011). Experts who offer law dissertation writing help at Edudorm essay writing service indicates that Kozlowski however was arrested for corporate crime because stealing a fortune from his organization (CBS 2007). The sentences given to them were appropriate as these are crimes which cannot be ignored at all.

Conclusion

            There is some legislation that has been put in place so as to ensure that these crimes do not occur in the future, for instance, one of the policy is the imposition of up to threefold damages upon any offender who engages in these crimes.

References

CBS. (2007). Eye To Eye: Dennis Kozlowski.

CBS. (2011). Make biggest insider trading bust ever.

          

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