ABSTRACT
Highlighting the potential for truly international insider trading oenses is the continuing prosecution of Ajaz Rahim by the Securities and Exchange Commission (SEC) in the United States (see Securities and Exchange Commission 2007). In this case, it is alleged by the commission that Rahim, an investment banker based in Pakistan, received information from Haz Naseem, a junior investment banker in the United States, in
12.3.7 Judicial Discretion 196 12.3.8 Personal Jurisdiction 198 12.3.9 Minimum Contacts 199 12.3.10 General Jurisdiction 200 12.3.11 Specic Jurisdiction 201 12.3.12 Reasonableness 202
12.4 COMMENTS ON JURISDICTIONAL COVERAGE 203 12.4.1 Scenario One 204 12.4.2 Scenario Two 204 12.4.3 Scenario ree 205 12.4.4 Scenario Four 205
12.5 CONCLUDING THOUGHTS 206 REFERENCES 207
relation to the impending but as yet unannounced takeover of TXU Corporation by a consortium of private equity rms consisting of Kohlberg Kravis Roberts, Texas Pacic Group, and Goldman, Sachs & Company. e rm for which Naseem was an employee had served as a nancial advisor in the TXU deal. e commission further alleged that on the basis of this information Rahim acquired a mixture of call option contracts and shares which ultimately resulted in a trading prot of over U.S.$5 million. At time of writing, this case has yet to reach its conclusion.
