Securities Industry Act - The Bahamas Laws On-Line - The ...

SECURITIES INDUSTRY [CH.363 – 51
corporate shall be presumed to have been an
insider of the company for the previous six
months or for such shorter period that he was a
director or an officer of the body corporate; and
(b) if a company becomes an insider of a body
corporate, or enters into a business combination
with a body corporate, a director or officer of the
body corporate shall be presumed to have been
an insider of the company for the previous six
months or for such shorter period that he was a
director or officer of the body corporate.
(3) In subsection (2), “business combination” means
an acquisition of all or substantially all the property of one
body corporate by another or a merger of two or more
bodies corporate.
(4) The provisions of this section shall apply mutatis
mutandis to partnerships, limited liability partnerships,
trusts, joint ventures, syndicates, and other issuers, as the
case may be.
76. An insider who, in connection with a transaction
in a security of the issuer or any of its affiliates, makes use
of any specific confidential information for his own benefit
or advantage that, if generally known, might reasonably be
expected to affect materially the value of the share shall be
liable to compensate any person for any direct loss
incurred by that person as a result of the transaction,
unless the information was known or in the exercise of
reasonable diligence should have been known to that
person at the time of the transaction.
77. (1) An action to enforce a right created by
section 76 may not be commenced except within two years
after the discovery of the facts that gave rise to the cause of
action.
(2) Sections 74 to 76 inclusive are applicable to public
companies only.
78. (1) Any broker-dealer which effects any sale or
purchase of any listed security shall within twenty-four
hours after the sale or purchase make and transmit a
contract note of the transaction to its principal.
(2) A contract note shall —
(a) advise of the sale or purchase of the listed
security;
Liability of
insider.
Limitation and
application.
Contract note.
[Original Service 2001]
STATUTE LAW OF THE BAHAMAS