A former broker at Pacific Continental Securities (PCS) has been fined £30,000 by the Financial Services Authority (FSA) and banned for passing on inside information to customers and other failings.
Jay Alan Rutland, who is currently listed as inactive, was a senior broker at the firm, which in January 2009 was itself hit with a final notice in connection with advising on and arranging the sale of certain higher risk securities to customers between 2005 and 2007.
Its collapse in 2009 contributed to a £58m interim levy on investment advisers.
Today's final notice detailed how Rutland circulated to brokers a sales script that contained inside information, which was not public and was price sensitive, about Provexis Plc, an AIM-traded company.
He was also responsible for drafting sales scripts to be used by PCS's brokers when trying to sell shares to customers over the telephone in which scripts the risk warnings and risk factors normally used by PCS were significantly watered down.
These were circulated even though he knew they had not been approved by the firm's compliance department.
The FSA would have hit him with a £160,000 fine were it not for the "serious financial hardship" this would have caused.
In December 2010, two other PCS employees were fined a total of £100,000 and banned from working in financial services for market abuse.
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