Martyn Dodgson, an executive from Deutsche Bank, is thought to have worked with the government on the management of its shares in Lloyds and the Royal Bank of Scotland, the Financial Times reported.
He is one of six bankers arrested on Tuesday (March 23rd) along with Novum Securities trader Graeme Shelley and Clive Roberts,
head of equities trading and sales at Exane BNP Paribas.
A seventh individual was arrested by the authorities on Wednesday in what the FSA is describing as its âlargest ever operation against insider dealingâ.
Computers and documents in 16 business and residential locations were seized as part of the investigation which was carried out by 143 FSA officials.
FSA staff members in collaboration with representatives from the Serious Organised Crime Agency (SOCA).
All of the seven are expected to be released on bail after questioning.
The FSA has not formally provided the identities of any of the arrested traders, although it did announce that two were senior executives while another was a hedge fund professional.
By Jim Ottewill