The Currency analytics
By Evie Vavasseur
The Financial Conduct Authority slapped Dipesh Kerai and Bhavesh Hirani with penalties totaling £108,731 for insider trading in Bidstack Group shares.
Instead, Hirani shared the sensitive details with Kerai before anyone else knew about it. The two men then bought 1.
Kerai's total penalty hit £52,731, which breaks down to £9,260.74 in disgorgement plus interest, and a £42,000 fine that got cut by 30% because he settled.
The FCA isn't done with enforcement actions like these. Smart made it clear the regulator won't tolerate this kind of misconduct, and there's probably more cases coming down the…
Bidstack specialized in in-game advertising before it disappeared from public markets earlier this year.
Hirani's position as interim CFO gave him access to sensitive company data that regular investors couldn't see.
The settlement discounts both men received show the FCA's strategy of encouraging early admissions.
Bidstack hasn't said anything publicly about the case involving their former interim CFO. The company's silence might mean they're doing internal reviews or dealing with legal…
The FCA caught this case through industry reporting, which Smart praised as crucial for maintaining market integrity.
Market participants better take notice. The FCA has been cracking down on insider trading cases in recent months, and this won't be the last one.
The penalties reflect the FCA's commitment to deterring similar misconduct. Hirani had a position of trust as interim CFO, and he abused it by sharing sensitive information with…
Bidstack's shares were particularly sensitive to market movements because of the company's pioneering work in in-game advertising solutions.
The FCA hasn't said whether they're investigating other potential insider trading activities at Bidstack or related companies.
Smart emphasized how important collaboration between regulators and market actors is for identifying suspicious activities.
The case marks another enforcement action in the FCA's broader initiative to strengthen market oversight.