FCA fines company for failure to implement adequate executive share dealing rules

The FCA recently fined Reckitt Benckiser Group plc for failure to implement adequate systems and controls in monitoring share dealings by its senior executives in the company’s shares.

The FCA found that this contributed to late and incomplete disclosure to the market of share dealings by two of the company’s senior executives. This latest decision follows a similar decision by the FSA (the FCA’s predecessor) against Nestor Healthcare Group in 2013, reaffirming to premium listed companies that putting in place a share dealing code and requiring annual certification by senior executives that they understand and comply with the code, is not sufficient.