BIBA Throws Support Behind Insider Trading Law

by Amanda Banks, Tax-News.com, London

06 August 2004

The Bermuda International Business Association has lent its support to legislation in the Criminal Code Amendment Act 2004 which will outlaw acts of market manipulation and insider trading in the jurisdiction.

The legislation, passed by the Senate last week, imposes fines of up to $100,000 and a five year jail sentence for market manipulation, and a seven year custodial sentence and $175,000 fine for those found guilty of insider trading.

“This legislation is especially timely as Bermuda’s financial services are increasingly sought out by the world’s investors,” noted Deborah Middleton, BIBA’s CEO, according to the Bermuda Sun.

“With the arrival of internationally renowned corporations such as HSBC, Citigroup and JP Morgan Chase, it is essential Bermuda maintain a business friendly, but progressive and transparent system to protect and secure our growing international investment community,” she observed.

Ms Middleton added that the new legislation would also help the Bermuda Stock Exchange win designated investment exchange status from the UK Financial Services Authority.

BIBA is an organization of resident companies offering accounting, legal, banking, management, e-business, IT and international trust and fund services. The organisation works in partnership with the Bermudan government to promote the island’s financial centre internationally.

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