Insider dealing legislation fails expectations

INSIDER dealing regulations in the Criminal Justice Act 1993 have failed to win the City's confidence, research says.

The new law and related Stock Exchange guidance have “fallen some way short” of their laudable objectives, concludes the study by Focus Communications.

Only one per cent of 500 respondent listed companies felt the Act would better private investors' cause.

Ninety-two per cent said it would have no impact on relations, with seven per cent saying it would worsen relations. 63 per cent said the Act would fail in its aim to produce a more even playing field between institutional shareholders and private investors.