FSA proposes
FSA proposes bigger fines
News - FSA proposes bigger fines
The Financial Services Authority (FSA) has outlined plans to hit firms and individuals
who breach rules or cheat customers with harsher penalties.
Some fines could treble in size.
The FSA says the proposals reflect its determination to change behaviour and address concerns that firms are not improving standards. Mis-selling to consumers and engaging in insider dealing have been cited as examples of actions which would be penalised with heavy fines from the FSA, which could be 20% of a company's turnover or 40% of an individual's salary, plus any bonuses earned.
Market abuse would be subject to a minimum fine of £100,000. "These proposals are an important step in pushing forward The Financial Services Authority ethos of credible deterrence," said Margaret Cole, director of enforcement at the FSA.
Submitted by {director of enforcement at the FSA} on Tuesday 7th July 2009