Preet Bharara’s work rooting out insider trading is good news for U.S. investors, as long as you’re not one of the 240 people being investigated. But until governments tackle insider trading on a global basis, it’s like playing Whac-A-Mole. If your business model includes insider trading, you can pop up in Hong Kong or London almost as easily as Tokyo and Shanghai without much fear of prosecution.
via How to stop the Whac-a-Mole of insider trading — The Great Debate.
Start with harsh penalties to inhibit insider trading. Then promote vigorous prosecutions.