Not so fast: Tom Hayes halts City watchdog decision to ban him over Libor rigging

 
Lucy White
BRITAIN-BANKING-FRAUD-FOREX-LIBOR-TRIAL
Tom Hayes is serving an 11-year sentence (Source: Getty)

Former UBS and Citigroup trader Tom Hayes, who is currently serving an 11-year sentence for Libor rigging, has won the right to halt a decision to ban him from the financial services industry.

The Financial Conduct Authority (FCA) announced this afternoon that it had decided to prohibit Hayes from any “regulated activity”, since it did not seem him a “fit and proper person as a result of his conviction for conspiracy to defraud in relation to the manipulation of Yen Libor”. This is the first time that the FCA has formally confirmed it intends to ban Hayes.

Read more: Tom Hayes, the first person to be found guilty of Libor-rigging offences in the UK, is suing the City watchdog over his industry ban

However, the FCA's decision has been suspended as Hayes achieved a stay in the ban proceedings. The disgraced trader is still waiting for the outcome of a Criminal Cases Review Commission (CCRC) investigation, which could refer his case back to the Court of Appeal.

“This is the first time that an application for a stay in FCA prohibition proceedings, where an individual has been sentenced for a criminal offence, has been successful,” said Hayes' lawyer Sara George, of Stephenson Harwood.

By his application to the CCRC, which was accepted in January, Hayes is hoping to appeal his case based on perceived flaws on the expert evidence.

Read more: Tom Hayes expected to launch next stage of Libor appeal this week, as convicted Barclays pair due in front of Court of Appeal

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