The US Federal Reserve has refused to stay a motion issued last year that banned former Barclays FX trader Chris Ashton from the FX industry and fined him $1.2 million.
Ashton appealed the decision, which was originally announced in 2016, only after it had formalised the ban last year, claiming the final notice was not relevant in the jurisdiction in which he resides – the UK.
The Fed, however, after reviewing the details of the appeal, says Ashton failed to respond to the original notice or request a hearing, and that in December 2016 and January 2017 the Office of Financial Institution Adjudication (OFIA) served him “in multiple ways” with an order to show cause for his failure to respond to the original notice.
The Fed adds that in February 2017 the Administrative Law Judge (ALJ) issued a recommended decision, which was also served on Ashton in multiple ways, and adds that the final decision was served on Ashton and was also the subject of a public press release.
“The Board declines to reopen this proceeding,” the Fed states. “Respondent [Ashton] was properly served with process as well as with an order to show cause that gave him an opportunity to explain his failure to respond to the notice. He was served with a recommended decision by the ALJ, and with the Board’s decision and order. These documents were served in multiple ways, with significant effort, in order to ensure that Respondent would receive proper notice.
“Despite that notice, Respondent never requested a hearing, filed an answer, or otherwise responded to the Board’s action until his request for reconsideration, itself filed three months after service of the final decision and order, and after the period for judicial review had expired,” it adds. “Respondent makes no attempt to explain his tardiness, and all of the evidence and arguments he cites were available to him since the start of the proceeding.”