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Authors

Robert T. Denny

Abstract

Computer hacking is not a new crime, nor is insider trading, but the Securities and Exchange Commission (SEC) has recently focused its attention on computer hackers trading on wrongfully obtained inside information. These hackers manipulate computer codes or guess passwords to obtain inside information from publicly traded corporations, which they then use to gain substantial profits in the stock market. Undoubtedly, these hackers are violating computer fraud statutes, but whether they are liable under the Securities Exchange Act for insider trading is less clear.

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