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Even if the commission cannot show insider trading under Rule 10b-5, it may still be able to win its case because it also accused Mr. Schvacho of violating Rule 14e-3, which prohibits insider trading on information about a tender offer.
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It is assumed that the client, or his consultant, carries out the preliminary routing and includes the information in a tender specification such that competitive tenders may be received from a variety of design and construct contracting organizations.
Parliament rushed through a new law restricting access to information about the tendering process to select the 5,000 outlets.
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Previously, councils either published information about tenders or contracts on their own websites, or on the Official Journal of the European Union website.
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