No, insider trading is not limited to public companies. Indeed, it's more of an issue with private companies precisely because the danger of unbalanced information is so high.
You should read up on the insider trading case law--a good number of the cases involve companies which are not traded on a stock exchange.
Assuming that the SEC regs only apply to public companies is a common misunderstanding. These regs actually apply to all companies which solicit investment, unless a specific exemption applies (i.e., solely intra-state, limited placement private offering, etc.)
You should read up on the insider trading case law--a good number of the cases involve companies which are not traded on a stock exchange.
Assuming that the SEC regs only apply to public companies is a common misunderstanding. These regs actually apply to all companies which solicit investment, unless a specific exemption applies (i.e., solely intra-state, limited placement private offering, etc.)