FCA fines former Carillion finance directors for misleading statements
The Financial Conduct Authority has fined former Carillion plc finance directors Richard Adam and Zafar Khan for issuing misleading statements. They failed to disclose serious financial troubles in the company's UK construction business.
Undisclosed financial distress
Richard Adam and Zafar Khan, former finance directors of Carillion, were fined £232,800 and £138,900 respectively.
They were aware of serious financial troubles in Carillion’s UK construction business but failed to reflect this in company announcements.
This omission led to poor oversight by the Board and audit committee.
Upholding market integrity
The FCA found both Mr Adam and Mr Khan acted recklessly, knowingly concerned in Carillion's breaches of the Market Abuse Regulation and Listing Rules.
The authority stressed the importance of accurate market information from those in responsibility, affirming its commitment to preventing market abuse and upholding standards.