Fraudulent Practices in the Stock Market (A Comparative Study)

Abstract

The Abstract the increase in the volume of trading and the magnitude of gains made by investors led some of them to engage in illegal business to profit at the expense of the interests of other dealers and the interests of the financial market and the national economy. One of the most common illegal trading practices is manipulation of prices and transactions of insiders, which harm the integrity of trading processes and violate the principles of justice and equality in access to information. In this research, we discussed the concept of these practices and the mechanisms carried out by the supervisory bodies in dealing with these practices and ways of preventing them. We found that the Iraqi legislator is less organized than the comparative legislations in the formulation of legal rules that prohibit and penalize dealers or third parties in the conduct of illegal acts that harm the interests of investors, the market and the public interest.