UK Financial Conduct Authority Takes Action Against Two Individuals for Market Abuse

The Financial Conduct Authority has banned and fined two individuals for market abuse. Mr. Niall O'Kelly and Mr. Lukhvir Thind were Chief Executive Officer and Financial Controller, respectively, at Worldspreads Limited during the relevant time. The FCA found that both individuals had deliberately and repeatedly disseminated false and misleading information relating to Worldspreads Limited, a publicly listed company, in contravention of the Financial Services and Markets Act 2000. Worldspreads floated on the AIM in 2007 but subsequently collapsed in March 2012. Mr. O'Kelly intentionally engaged in market abuse by disclosing incorrect annual accounts in Worldspreads' AIM admission documentation and failing to disclose Worldspreads' executives' loans to group subsidiaries and risky internal hedging practices. Mr. O'Kelly also continued to falsify or omit financial information for the purposes of Worldspreads' annual accounts from the flotation onwards. Mr. Thind also intentionally engaged in market abuse by acting to falsify critical financial information concerning Worldspreads' client liabilities (and its cash position). Both individuals are prohibited from performing any function in relation to any regulated activities carried on by an authorised or exempt person, or exempt professional firm with effect from April 7, 2017. Mr. O'Kelly was fined £468,756, however, the amount was reduced to £11,900 because he demonstrated financial hardship and agreed to an early settlement. Mr. Thind was fined £150,000. The amount was reduced to £105,000 because he agreed to an early settlement.

View the Final Notice issued to Mr. O'Kelly.

View the Final Notice issued to Mr. Thind.