Centrica Hires Former Morgan Stanley Trader Banned By FSA - FT

10th Jul 2010 11:35

LONDON (Dow Jones)--Centrica PLC (CNA.LN), an integrated energy company and owner of British Gas, has hired David Redmond, the former Morgan Stanley trader banned by the Financial Services Authority last year after placing alcohol-fueled rogue bets in the oil market, the Financial Times reported Saturday, citing the company. Redmond is advising the group on the development of natural gas storage facilities that will allow it to play the natural gas markets by buying and selling storage capacity, according to a person familiar with the move. Centrica said Redmond's role did not itself involve trading and was not client-facing. The FSA handed down a minimum two-year ban to Redmond in May last year, after it emerged that he had placed unauthorized trades risking $10 million of Morgan Stanley's money on the future cost of oil, a figure equivalent to nearly a third of daily UK market trade in the contract. Redmond, then a trader in Morgan Stanley's commodities arm, placed the trades after a 3 1/2f-hour lunch. At Centrica, Redmond will be working in an advisory capacity, developing models and strategy to help the company try to predict supply and demand for gas, the FT added. Newspaper Web site: http://www.ft.com -London Bureau, Dow Jones Newswires; +44 (0)20 7842 9269 (END) Dow Jones Newswires July 10, 2010 06:35 ET (10:35 GMT)