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FCA fines broker over failures to spot ‘suspicious’ trades

Regulator's crackdown on cum-ex trading, dividend arbitrage and withholding tax continues

The fine against Sunrise Brokers is the second matter in which the FCAr has opened a case relating to cum-ex trading, dividend arbitrage and withholding tax.
The fine against Sunrise Brokers is the second matter in which the FCAr has opened a case relating to cum-ex trading, dividend arbitrage and withholding tax. Photo: Alamy

A UK broker has been hit with a £642,400 fine over failures in its anti-money laundering controls, which failed to spot potential financial crime and tax fraud.

The FCA fined Sunrise Brokers after it found deficiencies in identifying and reducing the risk of facilitating fraudulent transactions and money laundering, including a number of “suspicious” trades.

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