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Laws governing insider trading

Insider trading remains a controversial issue in the American public domain. Most individuals perceive the practice as being illegal. However, insider trading can both be legal and illegal practice. The provisions of the American law dictate that any form of insider trading should be reported to the U. S. Securities and Exchange Commission (SEC) to make it legal (Miller & Jentz, 2009). This has the implication that the transaction is not kept a secret for access by the general public.

Law and order tempts

Entrapment occurs if an agent who is supposed to enforce law and order tempts an individual into committing a crime which the person would otherwise have not committed. This is a common among occurrence especially among In criminal law, entrapment has several unusual defenses that defendants can argue in building strong defenses for their cases. First, entrapment is an affirmative defense against any crime. In this classification, if a person accused of allegedly committing a crime admits that he was entrapped to perform an act prohibited by law and/or law enforcer, his conduct is excused.