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What is the remedy for violating 10b-5 (insider trading)?

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Final answer:

Violating Rule 10b-5 for insider trading can result in fines, disgorgement of profits, bans from executive positions in public companies, and even imprisonment.

Step-by-step explanation:

The remedy for violating Rule 10b-5 related to insider trading can involve several penalties, including civil and criminal punishments. Individuals found guilty of insider trading under Rule 10b-5 can face substantial fines, disgorgement of profits made or losses avoided from the illegal trades, and may also be barred from serving as officers or directors of public companies. Furthermore, criminal charges can lead to imprisonment. It is crucial for those involved in the securities markets to comply with all SEC regulations to avoid these significant penalties.

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