THE CORPORATIONS LAW

CHAPTER 8 - THE FUTURES INDUSTRY

PART 8.7 - OFFENCES

Division 1 - Insider dealing

SECTION 1253   PERSONS PRECLUDED FROM DEALING  

1253(1)  [Inside information]  

For the purposes of this Part, a person is precluded on a particular day from dealing in a futures contract concerning a body corporate if, by virtue of being, or having been at any time during the 6 months ending on that day, connected with the body, the person has inside information in relation to that futures contract.

1253(2)  [Person connected with another body corporate]  

For the purposes of this Part, a person is also precluded on a particular day from dealing in a futures contract concerning a body corporate if, by virtue of being, or having been at any time during the 6 months ending on that day, connected with another body corporate, the person has information that:

(a)  is inside information in relation to that futures contract; and

(b)  relates to any transaction (actual or expected) involving both those bodies, or involving one of them and securities of the other.

1253(3)  [Information received from another person]  

For the purposes of this Part, a person is also precluded from dealing in a futures contract if the person:

(a)  has inside information in relation to the futures contract;

(b)  obtained the information, directly or indirectly, from another person;

(c)  is aware, or ought reasonably to be aware, of facts or circumstances by virtue of which that other person is precluded by subsection (1) or (2) from dealing in the futures contract; and

(d)  when the information was so obtained:

(i) was an associate of the other person; or

(ii) had with the other person an arrangement for the communication of information of a kind referred to in subsection (1) or (2) with a view to a dealing, by the first-mentioned person, by the other person, or by both of them together, in that futures contract or a futures contract of the same kind as that futures contract.