UK’s FCA charges former Janus analyst and 4 others of £1.5M insider trading
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The Financial Conduct Authority (FCA), the financial markets regulator for the United Kingdom, has charged a former analyst at Janus Henderson, Redinel Korfuzi, with insider trading. Korfuzi was charged alongside four others for committing insider trading violations between December 2019 and March 2021.
FCA charges former Janus analyst of insider trading
The FCA noted that the five accused individuals appeared before the magistrates’ court in Westminister on Wednesday. The FCA noted that the co-conspirators were Dema Almeziad, Iva Spahiu, Oerta Korfuzi, and Rogerio de Aquino.
According to the FCA, Korfuzi abused his role as an analyst at Janus Henderson by using insider information to make profitable trades in 19 companies using accounts owned by his co-conspirators.
The FCA further said that the five used information not already available to the public to trade contracts for differences (CFDs), where they made around £1.5 million. The five are also being charged with money laundering on more than 170 cash deposits valued at around £200,000.
The FCA has also revealed that the five defendants were arrested in March 2021 after the regulator collaborated with the UK Metropolitan Police. Four of the accused had already been released on bail before their recent appearance at the Westminister magistrates’ court.
According to the FCA, the case has been transferred to the Southwark Crown Court. Here, the accused is expected to take a plea on the charges. The FCA noted that it expects the accused to plead not guilty.
If they are found guilty of the insider trading offenses committed between 2019 and March 2021, the five will have to pay a fine or receive a prison sentence of up to seven years. However, offenses committed past November 2021 could attract a heftier fine or a prison sentence of up to 10 years. On money laundering charges, the FCA noted that they would be punished by a fine or a prison sentence of up to 14 years.
FCA investigates violations of the competition act
The FCA released another statement on Wednesday saying that it was investigating a violation of the UK Competition Act of 1998. The possible violation involves three money transfer companies: Hafiz Bros Travel & Money Transfer Limited, Dollar East Limited, and LCC Trans-Sending Limited.
According to the FCA, the three firms overcharged their customers between February 18 and May 31, 2017, using fixed exchange rates. The rates applied to converting the UK Pound to the Pakistani rupee.
The investigations into the charges facing the three companies include the parent company of LCC, Small World Financial Services Group Limited. If these companies are found guilty of the charges, it could result in another hefty fine.
