Nasdaq under scrutiny by Swedish regulator for possible insider trading violations

Sweden's financial market watchdog, the Financial Supervisory Authority (FSA), launched an investigation into Nasdaq on Thursday. The probe aims to determine whether Nasdaq Stockholm breached domestic regulations by failing to report suspected instances of insider trading.

The FSA's investigation will focus on potential breaches by Nasdaq Stockholm related to several significant company events that took place in 2021 and 2022. "There are strong reasons to initiate an investigation as Nasdaq is a very important player in the market," the FSA said in a statement. It added that "non-functioning surveillance at the main operator poses great risks."

A week prior to the announcement of this investigation, police conducted a raid on Nasdaq Inc.'s Swedish operations. A surveillance officer from the stock exchange is now being held in custody, suspected of three separate counts of insider trading.

In response to the probe, a spokesperson for Nasdaq stated: "We take this matter seriously. We are fully cooperating with the Swedish FSA and the prosecutor to assist in their investigations, and we are currently conducting our own investigation into this matter." The spokesperson further added, "We cannot speculate on these investigations or their outcome until the process is complete."

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Related Articles

Nasdaq under scrutiny by Swedish regulator for possible insider trading violations

Wall St opens lower as hawkish Fed lifts yields, growth stocks fall

Walgreens and CVS: A Comparative Analysis of Dividend Prospects