Big UK Insider-Trading Case Revealed
BNP Paribas, Deutsche Bank and Moore Capital all are connected to the biggest-ever, "insider trading" raid ever conducted in the United Kingdom. On Tuesday March 23rd 2010, British regulators and the UK Serious Organized Crime Agency used more than 140 personnel to raid sixteen locations and initially arrest six people.
The identities of the six arrested are a bit sketchy still. One is said to be Clive Roberts, head of European sales trading at Exaine, in which BNP Paribas owns a fifty percent stake. At least one of those arrested was also employed at Moore Capital in London – supposedly a Mr. Julian Rifat. Another individual is said to be a junior employee at Deutsche Bank. The identities and affiliations of the other three arrested were not initially known.
According to a subsequent FSA press conference, Exaine, Moore Capital and Deutsche Bank employees apparently used inside information to trade for their firms and/or themselves, and have made significant profits as a result. This again apparently was a 'sophisticated and long running insider trading ring. The UK investigation began back in 2007 and is continuing.
In the hours since the arrests, Moore Capital has publicly stated that Mr. Rifat apparently only used inside information to trade for his personal account and not the large $13 billion hedge fund itself. Other firms also suggest that all illicit trading was done through personal trading accounts rather than for the firms themselves.