The UK Financial Conduct Authority (FCA) is currently investigating allegations that former employees of Credit Suisse shared confidential information via WhatsApp.
The investigation focuses on individuals within the bank's London research unit. The FCA's scrutiny comes after previous fines imposed on Credit Suisse and UBS for similar violations.
The investigation is concerned with the sharing of price-sensitive information and business discussions conducted on personal devices, which contravenes regulatory requirements. The FCA is also examining allegations of breach of selective disclosure rules, where some Credit Suisse employees allegedly recorded conversations with senior executives without consent.
The FCA has the authority to impose fines and bar professionals from the financial industry. The investigation is ongoing, and the use of "disappearing messages" on WhatsApp is also being looked into. UBS has stated that it is unaware of any ongoing FCA investigation. The outcome of this investigation could have significant ramifications for the financial industry.