The crackdown on insider-dealing suspects was stepped up yesterday as the Financial Services Authority brought its fourth criminal prosecution in 12 months. Previously, the FSA preferred to use its in-house civil system of fines.

Neil Rollins, of Keighley, West Yorkshire, was charged yesterday with five counts of insider dealing and four counts of money laundering. Mr Rollins is alleged to have sold shares in PM Group, a rubbish collection services company, in August and September 2006 with the benefit of inside information.

In total he is accused of selling more than 73,000 shares in the group and of encouraging another person, Louisa Rollins, to deal in the shares as well. Soon afterwards, PM Group issued two profit warnings.

The FSA is under pressure to accelerate its pursuit of insider dealers amid evidence that investment cheats are still prospering by dealing ahead of the announcement of price-sensitive information.

Until recently the regulator has used its enforcement process solely to fine and/or ban culprits.

Last June, Margaret Cole, the head of enforcement for the FSA, said, “One of our goals is to get the City to take this subject [market abuse] more seriously. We feel that the threat of civil fines hasn’t worked as well as we would have liked.

“We’re convinced that the threat of a custodial sentence is a much more significant deterrent.”

Christopher McQuoid, of Royston, Hertfordshire, and James Melbourne, of Ripley, Derbyshire, are scheduled to stand trial on February 23 on charges of insider dealing in TTP Communications before its takeover by Motorola in 2006. They have indicated pleas of not guilty.

The trial of Neel and Matthew Uberoi, of Kenley, Surrey, who are charged with 17 counts of insider trading, is scheduled for June, and Malcolm Calvert, of Cobham, Surrey, is due to stand trial in September on multiple counts of insider dealing. Mr Calvert has indicated a plea of not guilty.

Proceedings in the case of Mr Rollins, 44, who appeared at City of Westminster Magistrates’ Court, were adjourned until February 18 and he was released on unconditional bail.

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