FIN.

FCA imposes £15.4m file for Principles breaches

The FCA has announced that it fined an interdealer broker, Tullett Prebon, £15.4 million, due to ‘serious’ breaches of:

  • Principle 2, by virtue of failing to conduct their business with due skill, care and diligence when faced with ‘blatant’ signs of broker misconduct;
  • Principle 3, by not taking reasonable care to organise and control their affairs responsibly and effectively, with adequate risk management systems to counter the risks arising from the behaviour of the brokers; and
  • Principle 11, by failing to be open and transparent with the regulator, and in particular by failing to comply with information requests appropriately.

The breaches occurred between 2008 and 2010, and in the case of the Principle 11 breach, between 2011 and 2014.  The firm cooperated with the FCA, and the fine was consequently reduced from £22 million.

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Roseyna Jahangir