chapter  7
9 Pages


The principal aim of this book was to examine the regulation of insider dealing within the prism of a developing jurisdiction in post-colonial Africa, with a cultural, historical, social, political and economic background divergent from the dominant world-view of the developed jurisdictions where the doctrine of insider dealing was incubated and canonized. At the time the debate on the need for or lack of the regulation of insider dealing was raging in the Western hemisphere, most countries in Africa were still under the shackles of European colonial captivity whilst the few that had gained political independence have plunged into oppressive military dictatorships. This historical fact has two major implications; fi rst, there were no Parliaments in most parts of the continent to contribute to the debate while the people and academia also played no role in determining, amongst other things, the need for regulation and the appropriate framework for an effective regulatory regime that will take into account local peculiarities and conditions. Secondly, most of the studies carried out in this area of the law were conducted in developed economies and mostly by Western scholars, and these studies were conducted in the context of these developed economies. Consequently, our understanding of insider dealing regulation within the context of a developing jurisdiction, especially in Africa, is not only lacking but also to a large extent confused. Addressing this lacuna in the academic literature should be of critical importance not only to the developing jurisdictions where lax, weak or overkill regulatory regimes could lead to capital fl ight and poor foreign direct investment but also to developed markets themselves because of the modern need for global portfolio diversifi cation. Nigeria, as Africa’s second largest economy and Africa’s biggest market with a population of over 167 million people, offered a fertile experience parallel to the other developing jurisdictions within the continent with analogous historical, cultural, social, economic and political background.