FCA secures confiscation orders totalling £1.69m against convicted insider dealers
The FCA has secured confiscation orders totalling £1.69m against convicted insider dealers.
His Honour Judge Pegden QC sitting at Southwark Crown Court made confiscation orders in the sum of £1,074,236 against Martyn Dodgson and £624,521 against Andrew Hind. The orders must be paid within three months or Dodgson will face a further seven and a half years in prison and Hind will face a further five and a half years.
These confiscation orders follow an FCA prosecution in which Messrs Dodgson and Hind were convicted of conspiring to insider deal. The existence of the conspiracy was proved by evidence of insider dealing in relation to five stocks.
However, the total amounts to be confiscated include profits generated from trading in a further 23 stocks, which the FCA asserted amounted to insider dealing. As both defendants are deemed to have a criminal lifestyle due to the extent of their offending, the Court was able to assume that the profits made from other trading within a defined period also represented the proceeds of insider dealing and therefore their benefit from general criminal conduct.
Dodgson and Hind did not seek to challenge that assumption in relation to their trading in the additional 23 stocks.
FCA executive director of enforcement and market oversight Mark Steward said: “Dodgson and Hind hatched an audacious plan to make significant illegal gains for themselves. They were driven by greed and self-interest, but through their actions they have lost their liberty, their livelihoods and their reputations. Insider dealing is a serious crime that undermines our markets. The FCA will continue to ensure that those engaged in such activity are held to account for their misconduct.”
