There is currently a circuit split between the Ninth Circuit and the Second Circuit regarding what prosecutors are required to prove in order to obtain an insider trading conviction.  In 1983 the Supreme Court issued a decision in Dirks v. Securities and Exchange Commission.  In that decision the high court held an insider trading violation requires evidence that the insider disclosing the information gained something, either a direct gain or an indirect one.  The Second Circuit read this requirement to mean the government is required to prove “…a meaningfully close personal relationship that generates an exchange that is objective, consequential … Continue reading Supreme Court to Hear Insider Trading Case