How To Determine Section 16 Insiders

Law360, New York (January 23, 2014, 2:05 PM EST) -- The three categories of statutory insider subject to Section 16 (15 USCS § 78p) of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), are principal stockholder, officer and director.

Principal Stockholder

Section 16 of the Exchange Act extends beyond traditional insiders (i.e., officers and directors) to include "every person who is directly or indirectly the beneficial owner of more than 10 percent" of a registered class of equity securities. The corresponding definition in Rule 16a-1(a)(1) (17 CFR 240.16a-1) dovetails with Regulation 13D-G....
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