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.
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.