Chennai, August 11, 2025 : In an era where financial markets are increasingly shaped by
rapid globalization, technological disruption, and heightened regulatory
oversight, a new book titled “Insider Trading: Legal Framework, Global
Practices, and Ethical Dilemmas” takes a deep dive into one of the most
contentious issues in global finance. Authored by legal academic Ms. Aiswarya S
and banking professional-turned-law student Mr. I Madhav Ganesh, the work aims
to demystify insider trading by weaving together legal analysis, historical
context, case studies, and ethical debate.
For decades, insider trading has occupied a grey area at
the crossroads of financial opportunity and legal prohibition. Despite
high-profile prosecutions and extensive regulatory reforms, the boundaries of
what constitutes fair market conduct remain fiercely debated. The book not only
examines these boundaries but also asks critical questions about whether
insider trading is merely a breach of fiduciary duty or a symptom of deeper
systemic flaws in corporate governance.
Structured in multiple sections, the book begins by
establishing a clear conceptual and historical framework, explaining the
meaning, nature, and types of insider trading. It moves on to explore landmark
cases and policy responses from major jurisdictions, including the United
States, United Kingdom, European Union, and India. In doing so, it highlights
both the convergences—such as the emphasis on market integrity—and
divergences—such as the scope of liability and enforcement mechanisms—between legal
systems.
A particular focus is placed on India’s regulatory
landscape, especially the evolving role of the Securities and Exchange Board of
India (SEBI) in shaping compliance culture. From landmark judgments to recent
amendments in insider trading regulations, the authors map the Indian journey
against global best practices, offering a comparative lens for students,
practitioners, and policymakers.
The work goes beyond statutes and courtrooms, delving into
philosophical and economic perspectives on insider trading. It weighs arguments
from those who claim that insider trading can improve market efficiency against
those who believe it undermines investor trust and erodes the fairness on which
capital markets depend. The authors present these debates in accessible
language, making the book equally valuable for legal scholars and market
participants.
Importantly, the book is positioned not just as a reference
manual but as a thought-provoking resource designed to encourage deeper
reflection on how information asymmetry shapes the fairness of markets. In a
world increasingly defined by the control and use of information, the authors
argue, the ethics of insider trading have broader implications for financial
justice and public trust.
About the Authors
Ms. Aiswarya S is an Assistant Professor in the Department
of Law, specializing in Constitutional and Criminal Law. A graduate of Kerala
University with an LL.M. from the Central University of Kerala, she has
published extensively in reputed journals such as the NUALS Law Journal
and the Law Academy Journal. She also serves as a reviewer for IJIRT,
reflecting her active role in academic peer review. Her work blends rigorous
legal scholarship with a passion for mentoring future professionals.
Mr. I Madhav Ganesh is an engineering graduate and
accomplished banking professional with over 15 years of experience in
anti-money laundering, bereavement services, regulatory compliance, and sales
management. Currently pursuing his LLB, he brings a practitioner’s understanding
of financial regulation and risk management, aiming to bridge the gap between
legal theory and industry application.
Both authors share a commitment to promoting employment
through quality education, fostering job readiness, and encouraging legal
writing among students and professionals. They hope the book will not only
inform but also inspire readers to engage in research, critical analysis, and
publication, thereby contributing to the broader legal and financial discourse.
