Dollar rises as markets turn eyes to Opec

European bourses are mirroring a tentative Asia session as the dollar continues to be supported by better US economic data and investors turn their attention to a meeting between Opec members. Sentiment is underpinned by US index futures suggesting the S&P 500 will gain 3 points to 2,207.3 when trading gets under way later in […]

Continue Reading


Basel Committe fail to sign off on latest bank reform measures

Banking regulators have failed to sign off the latest package of global industry reforms, leaving a question mark hanging over bankers who complain they have faced endlessly evolving regulation since the financial crisis. Policymakers had hoped to agree the contentious new measures at a crunch meeting held in Chile this week, but a senior official […]

Continue Reading

Banks, Financial

Banking app targets millennials who want help budgeting

Graduate debt, rent and high living costs have made it hard for millennials to save for a house, a pension or even a holiday. For Ollie Purdue, a 23-year-old law graduate, this was reason enough to launch Loot, a banking app targeted at tech-dependent 20-somethings who want help to manage their money and avoid falling […]

Continue Reading


Eurozone inflation climbs to highest since April 2014

A welcome dose of good news before next week’s big European Central Bank meeting. Year on year inflation in the eurozone has climbed to its best rate since April 2014 this month, accelerating to 0.6 per cent from 0.5 per cent on the back of the rising cost of services and the fading effect of […]

Continue Reading


Wealth manager Brewin Dolphin hit by restructuring costs

Profits at wealth manager Brewin Dolphin were hit by restructuring costs as the company continued to shift its focus towards portfolio management. The FTSE 250 company reported pre-tax profits of £50.1m in the year to September 30, down 17.9 per cent from £61m the previous year. Finance director Andrew Westenberger said its 2015 figure was […]

Continue Reading

Categorized | Financial

Ex-Logica analyst passed inside information to neighbour and relative

Posted on November 29, 2016

A former business analyst at Logica allegedly passed inside information about its £1.7bn takeover by CGI Group to his London neighbour and to his brother-in-law, a court has heard.

The UK’s Financial Conduct Authority has charged Manjeet Singh Mohal with two counts of passing on inside information on May 28 2012, three days before the Reading-based technology services company disclosed an approved takeover by CGI. That announcement that would see the FTSE 250 company’s share price soar from 65.7p to 110p.

‎Reshim Birk, Mr Mohal’s neighbour in the London suburb of Southall, bought shares and options in Logica after ‎a tip-off from Mr Mohal, the FCA alleges. Surinder Pal Singh Sappal, Mr Mohal’s brother-in-law, also bought shares, the watchdog says. Mr Birk and Mr Sappal face one count each of insider trading, according to the indictment.

Mr Mohal, who had worked at the company for a decade as a business analyst, was not included on Logica’s formal list of insiders on the takeover, but in 2004 he signed an official company code of conduct around inside information “akin to the Official Secrets Act,” Andrew Marshall for the FCA said on Tuesday.

“The prosecution ‎case is that when you look at the evidence, there’s clear evidence that he must have obtained inside information and that he then disclosed it to Reshim Birk and Mr Sappal,” Mr Marshall told the jury at the Old Bailey. “We can’t say precisely how he got that information. We don’t have to prove it either.”

Mr Mohal sat next to Ryan Willmott in Logica’s office. Mr Willmott was on the insider list for the takeover and was gathering information about the deal, the jury heard. Mr Mohal was assisting Mr Willmott in the weeks running up to the takeover. The group finance director has given evidence that she was “surprised” Mr Mohal was not considered an insider, the jury heard.

Mr Mohal called his neighbour, Mr Birk, in the early evening of May 28 as the Logica board was meeting to discuss the deal announcement, the jury heard. The next morning, Mr Birk called his broker at Investec and bought £20,000 of Logica shares and, unusually for his portfolio, £5,000 worth of options, saying he had a “hunch” about a possible takeover — prompting a warning from the broker over illegal trading.

A suspicious transaction report was filed by Investec the next day.

The defendants deny the charges and now face a four-week trial.

Insider trading carries a maximum sentence of seven years in prison — although the longest sentence meted out in the UK to date has been four and a half years in another FCA case earlier this year.

Witnesses in the trial will include Charles Wilkinson, who was head of corporate broking at Deutsche Bank at the time, advising Logica on the takeover. ‎Logica officials will also appear as witnesses.

The trial comes after a probe by the FCA dubbed Operation Holt.

The besuited defendants sat silently in the dock as Mr Marshall outlined the prosecution case to the jury.

The trial continues.