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City banker fined over professional negligence

Published on 16 Nov 2009 under category: legal

A former banker at UBS has been fined £35,000 by the Financial Services Authority (FSA) after being found guilty of signing documents for unauthorised loans.

Andrew Cumming, who worked as a client adviser in the bank's wealth management division, was also banned from employment in regulated occupations for a minimum period of five years.

The ex-banker is "not fit or proper" to continue his activities, the FSA said, after the watchdog discovered that Cumming had been documenting fake loans to cover up losses from trading.

Margaret Cole, director of enforcement and financial crime at the FSA, said: "Cumming deliberately misled UBS and its customers. Although he did not stand to make a personal gain, his complicity allowed a colleague to continue making unauthorised trades, while the losses continued to mount up.

"We are committed to deterring behaviour of this kind by banning and fining anyone found to have committed such misconduct."

UBS was also fined over Cumming and his colleague's activities, for a total of £8 million.

If you require advice on Professional Negligence please call us on +44 (0)20 7831 0101 and ask for Peter Mellett.