Insider Dealing (Hansard, 17 January 1994)

§ Mr. Darling
To ask the Chancellor of the Exchequer how many cases of insider dealing were reported by the authorities in each year since 1980.

§ Mr. Nelson
Alleged cases of insider dealing are generally detected by the stock exchange through its 357W monitoring of share dealing. Following a preliminary investigation the stock exchange informs the Department of Trade and Industry when it believes there is a prima facie case. That Department has powers to investigate and to bring prosecutions where appropriate. The cases referred to the DTI in this way since 1980 are set out in the table.

Alleged cases of insider dealing reported to the DTI by the stock exchange between 1980 and 1993–94¹

Cases reported

1980 7

1981 18

1982 23

1983 17

1984 12

1985 6

1986–87 13

1987–88 29

1988–89 33

1989–90 21

1990–91 8

1991–92 11

1992–93 5

1993–94 7

¹The data for the period 1980–85 relate to calendar years whereas thereafter the figures are on a financial year basis. The information for 1993–94 relates to cases which were reported to the DTI between April and the end of December 1993. A case may have led to more than one person being prosecuted.

§ Mr. Darling
To ask the Chancellor of the Exchequer how many cases of insider dealing have been prosecuted in each year since 1980; and how many prosecutions resulted in(a) conviction and (b) acquittal.

§ Mr. Nelson
The information is given in the table.

Insider dealing prosecutions between 1980–81 and 1993–94¹

Year Cases Prosecutions Convictions Acquittals

1980–81 0 0 0 0

1981–82 1 1 1 0

1982–83 2 3 3 0

1983–84 0 0 0 0

1984–85 2 4 0 4

1985–86 0 0 0 0

1986–87 1 1 1 0

1987–88 3 3 3 0

1988–89 1 1 0 1

1989–90² 10 14 4 9

1990–91 1 2 2 0

1991–92 5 8 3 5

1992–93 3 7 5 2

1993–94³ 3 6 0 5

Total 32 50 22 26

¹ The figures reflect the number of individual defendants who were prosecuted in the thirty-two insider dealing cases which have been concluded since 1980. They do not include a case which is still in progress.

² The figures for 1989–90 include one prosecution which was subsequently withdrawn.

³ The figures for 1993–94 include one case which was not proven.

Alleged cases of insider dealing reported to the DTI by the stock exchange between 1980 and 1993–94¹
	Cases reported
1980	7
1981	18
1982	23
1983	17
1984	12
1985	6
1986–87	13
1987–88	29
1988–89	33
1989–90	21
1990–91	8
1991–92	11
1992–93	5
1993–94	7
¹The data for the period 1980–85 relate to calendar years whereas thereafter the figures are on a financial year basis. The information for 1993–94 relates to cases which were reported to the DTI between April and the end of December 1993. A case may have led to more than one person being prosecuted.

Insider dealing prosecutions between 1980–81 and 1993–94¹
Year	Cases	Prosecutions	Convictions	Acquittals
1980–81	0	0	0	0
1981–82	1	1	1	0
1982–83	2	3	3	0
1983–84	0	0	0	0
1984–85	2	4	0	4
1985–86	0	0	0	0
1986–87	1	1	1	0
1987–88	3	3	3	0
1988–89	1	1	0	1
1989–90²	10	14	4	9
1990–91	1	2	2	0
1991–92	5	8	3	5
1992–93	3	7	5	2
1993–94³	3	6	0	5
Total	32	50	22	26
¹ The figures reflect the number of individual defendants who were prosecuted in the thirty-two insider dealing cases which have been concluded since 1980. They do not include a case which is still in progress.
² The figures for 1989–90 include one prosecution which was subsequently withdrawn.
³ The figures for 1993–94 include one case which was not proven.