The barrister representing a businessman on trial for insider trading told a court today that the world of trading was dependent on the rumour mill.
Former Aria Capital director Iraj Parvizi has been charged with conspiracy to insider deal on various occasions between 2006 and 2010, alongside accountant Andrew Hind, former Panmure Gordon stockbroker Andrew Grant Harrison, private day trader Benjamin Anderson and former managing director at Deutsche Bank Martyn Dodgson.
The Financial Conduct Authority has accused Dodgson and Harrison of passing price-sensitive information gained from their jobs to the other three men.
During his closing argument for Parvizi, lawyer Orlando Pownall QC explained that, in the world of trading, "rumour makes the world go round and fuels speculation".
He added: "Just because somebody imparts information does not mean that it is price sensitive."
Pownall called trading a "dog eat dog environment and it is important that you look at it against that particular background". He added that the days when people would purchase shares as an investment, knowing they could rely on an annual dividend were "long gone".
The lawyer also described Parvizi as a "larger than life character", adding that "trading is a risky business" and "it takes a certain personality to get involved in the first place".
The jury for the trial, which began in January, is expected to retire to consider its decision shortly.
The charges arose out of Operation Tabernula, a long-running investigation jointly run between the Financial Services Authority and the Serious Organised Crime Agency into insider trading allegations.