The FSA has published a speech by Margaret Cole (FSA Director of Enforcement), entitled After dinner remarks at Cambridge Symposium on economic crime. In her speech Mrs Cole focuses on insider dealing. In particular she discusses what the FSA is doing to get the City to take insider dealing seriously and to show that it means business.
At the start of her speech Mrs Cole states that insider dealing is not a victimless crime and that in the longer term it can undermine the health of an economy as a whole.
In order to get the City to take insider dealing more seriously the FSA:
- Has a clear objective - to improve the cleanliness of markets.
- Has a long term strategy, which involves using all the tools and resources available to it in a targeted way. Mrs Cole states that a big part of the strategy is credible deterrence which means bringing enough cases of the right sort and getting the right outcomes so that the City pays attention.
- Has been prepared to make changes to equip itself for the challenges faced. The FSA has made changes in its personnel, structure and to the techniques and technology it uses. It has also asked the Government for additional powers and it wants to be designated as a prosecutor with the power to offer statutory immunity to co-operating witnesses. This would be in addition to the common law power it already has to undertake not to prosecute. Mrs Cole also states that the US experience has shown the FSA that incentivising people to come forward and give evidence against more culpable participants can be effective.
View FSA speech - After dinner remarks at Cambridge Symposium on economic crime, 3 September 2008