Merrill Lynch International (MLI), the London broking arm of Bank of America, has been fined £13.3 million for wrongly reporting a staggering 35 million transactions over seven years.
The fine, the largest imposed by City watchdog Financial Conduct Authority for transaction reporting failings, is particularly high because Merrill Lynch had previously been given a private warning in 2002 and fined £150,000 in 2006 for the same thing.
"[It] reflects the severity of MLI’s misconduct, failure to adequately address the root causes over several years despite substantial FCA guidance," the FCA said.
Georgina Philippou, acting director of enforcement at the FCA, added: “Proper transaction reporting really matters. The size of the fine sends a clear message that we expect to be heard and understood across the industry.”
The watchdog increased the amount of the fine by 50% for each infringement, saying recent fines for reporting failings had not proved enough of a deterrent.
Merrill Lynch received a 30% discount for settling early otherwise the fine would have been £19 million.
