Ian Hannam, former chairman of capital markets at JP Morgan Cazenove, has lost his appeal against disciplinary action by the Financial Conduct Authority over market abuse, clearing the way for a £450,000 fine initially handed down in February.
An Upper Tribunal judgement upheld the FCA’s decision that Mr Hannam had engaged in market abuse by disclosing inside information other than in the “proper course of his employment” in two emails in September and October 2008.
The judgement, published in May, said “the issue of the appropriate penalty to impose is to be dealt with on a later occasion”. In a final notice published today (22 July), the FCA revealed it was sticking to its original fine in its February decision notice of £450,000.
The financial penalty must be paid in full by Mr Hannam to the City watchdog by no later than 7 August 2014.
Tracey McDermott, the FCA’s director of Enforcement and Financial crime, said: “This has been a long and complex case but the Tribunal’s substantial judgment is a landmark.
“It should leave market participants in no doubt that casual and uncontrolled distribution of inside information is not acceptable in today’s markets.
“Controlling the flow of inside information is a key way of preventing market abuse and we would urge all market participants to pay close attention to the judgment.”
