Hedge funds, and others, dabbling in market abuse in Britain could face a much bigger bill, if they get caught.
The British government plans will triple potential fines for market abuse, Chancellor of the Exchequer Alistair Darling said. Under the proposal, the Financial Services Authority and Bank of England could impose fines of as much as 20% of a firm’s revenue in a business area or 40% of an individual’s compensation, including bonuses. The minimum fine would be £100,000 (US$161,000).
The new fines will be unveiled this week by the British Treasury.