The Financial Services Authority (FSA) has fined the head of European credit sales at Credit Suisse £210,000 for improper market conduct.
Nicholas Kyprios, head of European credit sales at Credit Suisse in London, was fined for “improper conduct in disclosing client confidential information ahead of a significant bond issue in November 2009”.
The firm had acted on behalf of Liberty Global during its takeover of UnityMedia, which was part-financed by a €2.5 billion bond issue.
Kyprios was found to have leaked confidential information to a fund manager, regarded by Credit Suisse as inside information and instructed not to tell third parties.
According to the FSA, Kyprios engaged in a guessing game that warning the fund manager when he was “getting warmer”.
Tracey McDermott, acting director of enforcement and financial crime, says: “While the FSA accepts that he did not set out to disclose the information, Kyprios’ conduct in trying to push to the limit what he could say resulted in him crossing the line. (article continues below)
“His behaviour was well below the standards we expect of senior market professionals who we should be able to rely on to uphold the system rather than seek to get round it. The high penalty reflects the seriousness of Kyprios’ breach.”
Kyprios qualified for a 30% discount on the financial penalty after agreeing to settle early, and would have been fined £300,000.