A former HSBC executive has been arrested in the UK at the request of the US authorities.
Stuart Scott was arrested on Monday following an extradition request by the Department of Justice.
HSBC's former head of cash trading in Europe now faces a two-day extradition hearing on 31 July at Westminster Magistrates’ Court, Bloomberg first reported.
Scott was charged by US investigators last July along with his former colleague Mark Johnson, who was arrested in New York at the time.
“Our client strongly denies the allegations,” said Scott’s solicitor, Anne Davies of Gunner Cooke. “Given there are ongoing proceedings it would be inappropriate to comment further at this time.”
An HSBC spokesman said: “Stuart Scott left the firm in 2014. We are unable to comment further on personnel issues or matters which are the subject of ongoing legal proceedings.”
US prosecutors allege that Scott and Johnson front-run a customer order worth $3.5bn in sterling in late 2011 to net HSBC around $8m in profit.