FSA fines hedge fund manager for market abuse
Losses & Lawsuits
LONDON - A former portfolio manager for a UK hedge fund has agreed to pay the Financial Services Authority a £52,500 fine for using insider information to purchase bonds. Steven Harrison worked for Moore Credit Fund and admitted receiving information on September 28, 2006 regarding Credit Suisse's refinancing plans for French plastics firm Rhodia SA.
Harrison said he failed to recognise the information at the time, but the same day he instructed a colleague to buy two million Rhodia 10.5% bonds due in 2010, that day.
The FSA says the use of the insider information was not deliberate and Harrison did not profit by it.
When Rhodia called in some of its debts, including the bonds, on October 5, 2006, Moore Credit made a EUR44,000 profit. In addition to the fine, Harrison has agreed not to act as a trader or fund manager for the next twelve months.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe
You are currently unable to print this content. Please contact info@risk.net to find out more.
You are currently unable to copy this content. Please contact info@risk.net to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@risk.net
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@risk.net
More on Regulation
Regulation
‘Holes’ in new UK regulatory net worry trading venues
Regulated venues say rival firms might unfairly escape oversight in activities such as blocking trades and price aggregation
Receive this by email