The High Court has confirmed a range of sanctions recommended by a Central Bank probe that found that a former non-executive director of drinks group C&C, Philip Lynch, engaged in insider dealing in the company's shares.
The ruling marks the first time that anyone has been formally sanctioned after being found to have engaged in insider dealing following a regulatory investigation of this type.
As a result of the decision, Mr Lynch has received a public caution, a fine of €75,000, and has been disqualified from participating in the business of a regulated financial services firm for a period of five years.
He must also pay €37,500 in costs to the Central Bank.
The probe was conducted by the Central Bank’s enforcement division and the outcome assessed by a panel made up of a number of retired senior judges.
It found that Mr Lynch breached market abuse regulations governing the area of insider dealing when he bought 200,000 shares in the publicly listed company C&C on October 21st 2008.
The insider information related to the recruitment of a new chief executive of the company, John Dunsmore, senior counsel Remy Farrell for the Central Bank's enforcement division told the court.
Marcus Dowling SC representing Mr Lynch explained that his client was not opposing the order that was being sought confirming the sanctions.
He said it was not a typical case as Mr Lynch had not gained from his investment in the company and in fact he had lost substantially from his ownership of its shares.
Mr Dowling said his client had not acted covertly and had announced his trades to the market.
President of the High Court, Ms Justice Mary Irvine, said she saw no reason not to confirm the order being sought.
A high-profile businessman, Mr Lynch had previously been a chief executive of the well-known companies, IAWS and One51.
He is also a formed chairman of the National Paediatric Hospital Development Board and served as chairman of An Post and Bord Bia.
Mr Lynch is also a former director of a range of other companies including Coillte, Irish Life and Permanent and FBD.
In 2013 the Central Bank reached a settlement with C&C and fined it €90,000 for breaches between January 2008 and January 2009 of the insider list requirements in market abuse regulations and rules.
It found that C&C failed to regularly and promptly update its insider list with the identity of those working for it who had access to inside information, or no longer had access to inside information.
It also failed to state on its insider list the date of each and every occasion on which it was updated and maintain a complete list of principal contacts at any other entity acting for it who had access to inside information.
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