Warning Notice
On , the Financial Conduct Authority issued a Warning Notice to Shaffarat Parvez
1.
Warning Notice Statement 21/3
1.1
The Financial Conduct Authority (the “FCA”) gave an individual a warning notice
on 16 September 2021 proposing to take action in respect of the conduct
summarised in this statement.
IMPORTANT: A warning notice is not the final decision of the FCA. The
individual has the right to make representations to the Regulatory Decisions
Committee (RDC) which, in the light of those representations, will decide on the
appropriate action and whether to issue a decision notice. The RDC is a
Committee of the FCA Board which decides whether the FCA should give certain
statutory notices described as within its scope by the FCA’s Handbook.
If a decision notice is issued, the individual has the right to refer the matter to
the Upper Tribunal which would reach an independent decision on the
appropriate action for the FCA to take, if any.
If either the RDC or the Upper Tribunal decides that no further action should
be taken, the FCA will publish a notice of discontinuance provided it has the
individual’s consent.
1.2
The following is a summary of the reasons why the FCA gave the individual a
warning notice:
•
The FCA considers that:
o
The individual, who was a member of the board of directors (“the
Board”) of a listed company (“the Company”), negligently engaged in
market abuse by unlawfully disclosing inside information contrary to
Article 14(c) of the Market Abuse Regulation ((EU) No 596/2014)
(“MAR”).
o
Specifically, the individual, acting in his capacity as a member of the
Board, disclosed inside information, concerning an anticipated
announcement relating to the Company, to a senior individual at each
of two of the Company’s major shareholders, otherwise than in the
normal exercise of his employment, profession or duties.
o
The information that the individual disclosed was material to the price
formation process for the Company’s shares and cannot properly be
regarded as part of permitted discussions of a general nature regarding
the Company’s business and market developments between its
management and its shareholders.
• The FCA considers that the individual’s preferential disclosure of such
information to two major shareholders in advance of disclosure to the wider
market constituted unlawful disclosure of inside information within the meaning
of Article 10 and in contravention of Article 14(c) of MAR.
Warning Notice Statement 21/3
1.1
The Financial Conduct Authority (the “FCA”) gave an individual a warning notice
on 16 September 2021 proposing to take action in respect of the conduct
summarised in this statement.
IMPORTANT: A warning notice is not the final decision of the FCA. The
individual has the right to make representations to the Regulatory Decisions
Committee (RDC) which, in the light of those representations, will decide on the
appropriate action and whether to issue a decision notice. The RDC is a
Committee of the FCA Board which decides whether the FCA should give certain
statutory notices described as within its scope by the FCA’s Handbook.
If a decision notice is issued, the individual has the right to refer the matter to
the Upper Tribunal which would reach an independent decision on the
appropriate action for the FCA to take, if any.
If either the RDC or the Upper Tribunal decides that no further action should
be taken, the FCA will publish a notice of discontinuance provided it has the
individual’s consent.
1.2
The following is a summary of the reasons why the FCA gave the individual a
warning notice:
•
The FCA considers that:
o
The individual, who was a member of the board of directors (“the
Board”) of a listed company (“the Company”), negligently engaged in
market abuse by unlawfully disclosing inside information contrary to
Article 14(c) of the Market Abuse Regulation ((EU) No 596/2014)
(“MAR”).
o
Specifically, the individual, acting in his capacity as a member of the
Board, disclosed inside information, concerning an anticipated
announcement relating to the Company, to a senior individual at each
of two of the Company’s major shareholders, otherwise than in the
normal exercise of his employment, profession or duties.
o
The information that the individual disclosed was material to the price
formation process for the Company’s shares and cannot properly be
regarded as part of permitted discussions of a general nature regarding
the Company’s business and market developments between its
management and its shareholders.
• The FCA considers that the individual’s preferential disclosure of such
information to two major shareholders in advance of disclosure to the wider
market constituted unlawful disclosure of inside information within the meaning
of Article 10 and in contravention of Article 14(c) of MAR.