Investment Banking

Morgan Stanley hit with £5m penalty over traders’ WhatsApp use

Morgan Stanley’s breach came to light after it responded to Ofgem’s requests for information

Morgan Stanley's fine marks the first time the regulator is penalising a firm under the UK’s legal requirements to record and maintain electronic communications
Morgan Stanley's fine marks the first time the regulator is penalising a firm under the UK’s legal requirements to record and maintain electronic communications Photo: Bloomberg via Getty Images

Traders at Morgan Stanley have landed the bank a £5.41m fine from energy regulator Ofgem over the use of WhatsApp to discuss energy market transactions.

In a 23 August statement, Ofgem said the fine was imposed on the bank because it failed to record or retain electronic communications between January 2018 and March 2020.

WSJ Logo