Insider trading remains a controversial issue in the American public domain. Most individuals perceive the practice as being illegal. However, insider trading can both be legal and illegal practice. The provisions of the American law dictate that any form of insider trading should be reported to the U. S. Securities and Exchange Commission (SEC) to make it legal (Miller & Jentz, 2009). This has the implication that the transaction is not kept a secret for access by the general public….