Brian Myerson receives three-year ban from financial services industry

16 July 2010

Brian Myerson, an activist investor, along with two other investors has received a three-year ban from working in the financial services industry by the Takeover Panel.

A ruling made earlier in the year stated that Mr Myerson, Daniel Posen and Brian Padgett had colluded to take control of shares in Principle Capital Investment Trust.

The panel upheld the decision that the three men had broken the takeover code by acquiring stock in the trust without also offering to sell them to shareholders.

According to the ruling, their behaviour to conceal the acquisition of the 6.7 million shares was “co-ordinated, disingenuous and dishonest".

As a result, the three traders have been issued with a “cold-shoulder” penalty, which prevents them from taking part in any merger or acquisition activity.

Mr Myerson has refuted the decision and said he is likely to launch an appeal.

“I am now examining what legal options are open to me, including a challenge in the European courts and whether the Panel exceeded its authority in acting as it did.”

The trader’s Principle Capital firm originally established the trust in 2005.

By Jim Ottewill

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