Mohammed Zina was employed by Goldman Sachs International as an analyst in the Conflict Resolutions Group in their London office.
His brother Suhail Zina was a solicitor at Clifford Chance.
The Financial Conduct authority has commenced criminal proceedings against the brothers following an investigation. The proceedings relate to six offences of insider dealing and three offences of fraud by false representation.
The alleged offences took place between 15 July 2016 and 4 December 2017 and involved trading in stocks of ARM Holdings, Alternative Networks, Punch Taverns, Shawbrook, HSN and Snyder’s Lance.
The total profit from the alleged insider dealing was approximately £142,000.
The fraud charges relate to three personal loans obtained from Tesco Bank, totalling £95,000. The loans were stated to be for funding home improvements. Instead, the FCA alleges that the loans funded the alleged insider dealing.
The brothers appeared at Westminster Magistrates Court today when the case was sent to Southwark Crown Court for a Plea and Trial Preparation Hearing on 16 March.
The pair face up to 17 years imprisonment and/or a fine if found guilty. Fraud is punishable by a fine and/or up to 10 years’ imprisonment. Insider dealing is punishable by a fine and/or up to 7 years’ imprisonment.