The Financial Services Authority (FSA) said Tuesday it has fined Barclays PLC (BARC.LN) GBP2.45 million for failures in transaction reporting.

MAIN FACTS:

-The FSA fined Barclays Capital Securities Ltd and Barclays Bank PLC (Barclays) for failing to provide accurate transaction reports to the FSA and for serious weaknesses in systems and controls in relation to transaction reporting.

-Firms are required to submit data for reportable transactions by close of business the day after a trade is executed.

-The FSA uses this data to detect and investigate suspected market abuse: insider trading and market manipulation.

-The FSA discovered discrepancies in Barclays’ data while reviewing a suspected incident of market abuse by a third party.

-A subsequent review of Barclays’ transaction reporting arrangements revealed that it did not have adequate systems and controls in place to meet the transaction reporting requirements as well as a substantial number of errors in the data submitted to the FSA.

-Barclays co-operated fully with the FSA in the course of its investigation and agreed to settle at an early stage.

-In doing so it qualified for a 30% discount.

-Without the discount the fine would have been GBP3.5 million.

 
-By London Bureau, Dow Jones Newswires; Contact Ian Walker; +44 (0)20 7842 9296; ian.walker@dowjones.com