< Back to previous page

Market abuse suspects lose case against finances watchdog

Published on 26 Apr 2010 under category: legal

Two men accused of taking part in an illegal share ramping scheme have lost their appeal hearing against the financial services watchdog.

Two men who were found guilty of participating in an illegal share ramping scheme have lost their appeal against the finance industry watchdog's decision.

The Financial Services Authority found that Jason Robins and Stephen Sotiriou had enabled the firm Winterflood to make around £900,000 from distorting the market for FEI shares.

Prices were inflated by a client named Mr Eagle, who wanted to use the AIM shell company as an investment vehicle and to buy the shares after they were sold to Winterbottom by the two main shareholders in 2003.

This occurred over a period of six months in 2004.

Winterflood has been fined £4 million, while its employees Sotiriou and Robins have received £200,000 and £50,000 in fines for their roles in the market abuse.

Sotiriou was accused of performing six delayed rollovers and identifying any stock in the market that could be bought in order to stop share prices declining.

Robins was found guilty of 215 rollovers and 21 delayed.

If you require advice on Corporate Fraud please call us on +44 (0)20 7831 0101 and ask for Dan Hyde.