THE FINANCIAL Services Authority (FSA) launched its latest insider dealing and money laundering case yesterday, after increased scrutiny of these crimes by the regulator.
The FSA, represented by lead prosecutor Tony Shaw, detailed its case against Neil Rollins by chronicling his share trading in PM Group, a Yorkshire-based company where Rollins was a senior manager.
Rollins has denied one charge of insider dealing and four charges of money laundering brought by the FSA and regarding trades executed over three months from August 2006.
Shaw told Southwark Crown Court yesterday: “He [Rollins] had price sensitive information and when he anticipated the share price would crash, he dumped his shares on the market. That is what insider dealing is about and that is what he did.”
The FSA has redoubled its efforts against insider dealing and currently has 11 individual cases outstanding, three of which were set to come to court in January.
On 2 November, the regulator, working with the City of London Police, arrested two people including a “City professional” on suspicion of insider dealing.
The watchdog last week called for bankers, hedge fund and investment managers and stockbrokers to have their mobile calls taped from November 2011 to help crack down on market abuses.
City A.M. Reporter