Barclays Gets GBP2.45 Million FSA Transaction Reporting Failures Fine
September 08 2009 - 5:57AM
Dow Jones News
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