FSA Fines BlackRock £9.5M For Mixing Client Funds

Law360, New York (September 11, 2012, 8:21 PM EDT) -- Asset management firm BlackRock Inc. received a £9.5 million fine ($15.2 million) from Britain's Financial Services Authority on Tuesday for failing to protect over £1 billion of client money in violation of U.K. rules.

The FSA said company subsidiary BlackRock Investment Management (UK) Ltd. failed to obtain legally required trust letters — which separate client money from investment firm assets and ensure full and prompt return of client funds in the case of firm insolvency — when the firm deposited clients’ money in third-party banks....
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.