What is one of the three offenses of insider dealing?

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One of the offenses of insider dealing involves encouraging others to buy stocks based on non-public, material information. This practice is considered insider dealing because it violates the principle of fair market participation, as the person with insider information is leveraging their advantage to influence others' trading decisions. By promoting the purchase of stocks to others while possessing confidential information, the individual not only benefits personally but also creates an unequal playing field in the market, undermining trust and integrity.

The activity of encouraging stock purchases is an active engagement in exploiting insider knowledge, distinguishing this offense from actions such as merely receiving information without acting on it or refusing to disclose financials, which may not directly constitute insider trading.

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