Professor J. Scott Colesanti has published the book Fairness, Inc.: The Origins (and Billion-Dollar Bonuses) of Rule 10b-5 as America’s Insider Trading Prohibition (Carolina Academic Press 2018). The 268-page book was officially released in late March.
Fairness, Inc. examines the history of the American insider trading prohibition from the Great Depression through the present and discusses possible reforms thereto. Among other topics, the book explores statutory definitions rejected by Congress and federal rules on class actions and criminal sentences, as well as a variety of Securities and Exchange Commission regulations complementing the agency’s efforts at detecting, deterring and punishing insider trading. (Read a sample chapter, “Paradise Regained: The Supreme Court Approves the Misappropriation Theory” (PDF), free of charge on the SSRN website.)
Professor Colesanti served for 10 years as an investigative attorney for the New York Stock Exchange. Afterward, he worked as regional counsel for a national broker-dealer and was appointed to more than 40 panels in NYSE/FINRA arbitrations.
He began teaching Securities Regulation in the year 2000 and has taught the course at Hofstra Law every year since 2002. He has authored over 20 articles on the topic of securities fraud, and in May he will be teaching his course International Financial Crimes for the third time abroad in Hofstra Law and Scuola Superiore Sant’Anna’s International and Comparative Law Program in Pisa, Italy. He is a former co-editor of The Business Law Prof Blog and a board member of The Journal of Securities Compliance.
Fairness, Inc. is Professor Colesanti’s third book in two years. He previously published Legal Writing, All Business (Carolina Academic Press 2016) and Oral Advocacy: Style and Substance (Carolina Academic Press 2017).
From the Publisher
Fairness, Inc. traces the history of the American insider trading prohibition, beginning with the adoption of the laws that federalized securities regulation and continuing up through the present. Along the way, its thirteen chapters consider measures adopted and rejected by Congress, the complete arsenal of prohibition weapons (private and public), and the accompanying spate of insider trading penalties.
Further, the book delves into history to focus on the people who helped shape the prohibition, as well as related legal maneuverings including the amendments to the FRCP that enabled class actions and the prolonged evolution of the insider trading “fine.” Additionally, the book provides the highlights of the monies rewarded through insider trading actions, thus demonstrating that — by a conservative tally — billions of dollars have been reallocated by the aggressive use of the prohibition between 1968 and the present.
View more information about the book on the Carolina Academic Press website.