In a notice confirming the fine today, the regulator said Hannam had disclosed “inside information other than in the proper course of his employment” in two emails sent between September and October 2008, when working at JP Morgan.
It first looked to fine Hannam in February 2012, after judging that he had disclosed inside information relating to Heritage Oil Plc, an existing JP Morgan client for which he was the lead adviser.
But Hannam upheld the complaint to a tribunal, which in May upheld the regulator’s decision.
In a notice, the FCA said Hannam’s actions had constituted “market abuse”, but added that it was not part of its case that he had “deliberately set out to commit market abuse” or that he “lacked honesty or integrity”.
Director of enforcement and financial crime at the FCA, Tracey McDermott, said the judgment was a “landmark” that should reinforce the fact that the “casual and uncontrolled” distribution of inside information will not be tolerated.
“Controlling the flow of inside information is a key way of preventing market abuse and we would urge all market participants to pay close attention to the judgment,” she added.
