Golding echoes call for rigid safeguards against insider trading

By Nakinskie Robinson   

 

Amid concerns of possible insider trading by parliamentarians and public officials, Opposition Leader Mark Golding is echoing the Integrity Commission's call for rigid safeguards.

 

This follows the release of the commission's findings into Prime Minister Andrew Holness' statutory declaration.

 

During a press conference earlier on Thursday, Mr. Golding stressed the need for laws to address any potential conflict of interest, when office holders are involved in public or private business. 

 

"It is clear that, for example, in the case of the Ministry of Economic Growth and Job Creation and the OPM, the Office of the Prime Minister - both of which obviously fall under Mr. Holness - they have such a huge swathe of the public sector that come under that... and with the Prime Minister being responsible for board appointments and numerous, plethora of public bodies that come under his portfolio responsibility, for him as a minister or indeed, Mrs. Holness as his wife, to be involved actively in commercial activities that are regulated by those bodies or seek permits or approvals from them, creates real possibilities of conflict of interest. So I understand why the Integrity Commission raised that point," he reasoned. 

 

Insider trading is an offence under the Securities Act 1993.

 

The practice speaks to when non-published information from a company is used to make a trading decision by someone with an interest in that company.

 

In the Commission's report, the Director of Investigations recommended that Parliament and the Cabinet Secretary direct attention to the issue of parliamentarians and public officers engaging in the purchase of shares and other equities in public corporations, as well as private companies, which fall under the regulatory regime of the government of Jamaica.

 

This to mitigate conflict of interest, abuse of authority for financial gain, and other actions which may amount to insider trading.