In their first joint operation the Financial Services Authority (FSA) and the Serious Organised Crime Agency (SOCA) searched 16 addresses in London, seizing documents and computers from both residential and business premises.
A junior trader for Moore Capital was arrested at the hedge fund’s office in Mayfair and an employee at Deutsche Bank’s office was also taken for questioning, the newspaper reported.
All together, 6 mix men were arrested on suspicion of being involved in a sophisticated and long-running insider dealing ring, the FSA said in a statement.
In what is being called the largest financial crackdown in Britain’s history, the operation was carried out by 143 FSA personnel together with officers from SOCA as part of a joint investigation started in late 2007. The FSA alleges that the city professionals passed inside information to traders (either directly or via middlemen) who traded based on this information and have made significant profits as a result.
Moore Capital said the investigation did not involve any of its own funds and that it was cooperating with authorities, the New York Times reported.
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