Cumming and Going

The Regulatory Roundup of 5 November reported on the £8m fine imposed upon UBS (AG) after four employees carried out unauthorised transactions involving customer money ‘on at least 39 accounts’.

The FSA has now released details of the ban and fine it imposed on Andrew Cumming, a former client adviser at the firm, for his role in the activities.

As will be seen from the Final Notice, he did not make any financial gain from the transactions and nor did he initiate or personally conduct any of the unauthorised transactions. His role was signing documentation in respect of the false loans, having been put ‘under significant pressure’ by a senior colleague at the firm.

The ban effectively means that Mr Cummings is prohibited from performing any controlled function. A combination of the FSA having pity on Mr Cumming’s financial circumstances, and the now traditional 30% discount for early admission of guilt/settlement meant that the fine was limited to £30,000 (originally £100,000 was considered).