UK Financial Conduct Authority: West Brothers Sentenced For Insider Trading And Forced To Pay £280,000

Matthew West has been sentenced to 15 months' imprisonment, suspended for 2 years, along with an unpaid work requirement of 200 hours. Nikolas West has been sentenced to 6 months' imprisonment, suspended for 12 months. 

The brothers were both seasoned traders with over 20 years of experience within the UK and overseas, with an extensive network of contacts across the investment community.  

The FCA uncovered their misconduct through its market surveillance tools used to detect suspicious behaviour. A subsequent investigation found that within minutes of receiving confidential information, the brothers had coordinated and executed trades, making a profit of nearly £43,000.

However, the court has ordered them to pay back more than £280,000 – reflecting the full value of the shares traded through their criminal conduct, not just the profit they made.  

Steve Smart, executive director of enforcement and market oversight at the FCA, said:

'Greed got the better of them. The West brothers knew the rules and still chose to break the law.

'This should serve as a reminder that the FCA will take action against those who abuse their position and break the law – including depriving them of their ill-gotten gains.'

Matthew West, the initial recipient of the inside information, was regularly approached by brokers with investment opportunities, which were subject to strict confidentiality agreements. The opportunities often related to upcoming capital raising plans at companies listed on the Alternative Investment Market (AIM)- a sub-segment of the London Stock Exchange designed for smaller, high-growth businesses.

While Matthew West received the inside information via legitimate broker communications, he unlawfully disclosed this information to his brother Nikolas.

Messages between the pair revealed specific details of the confidential information being shared and showed them discussing how to secure the best profit before the announcements were made public.

They then traded on the information, with most of the trading undertaken by Matthew West. Both were fully aware that their actions breached market rules and undermined the integrity of the financial system.

In sentencing, His Honour Judge Christopher Hehir remarked: 

'Markets cannot operate fairly if they are rigged by dishonest operators. Grave economic harm may result, so deterrence is important.'

This case follows other recent FCA enforcement actions on insider dealing, including the sentencing of Redinel Korfuzi and Oerta Korfuzi - reinforcing the FCA's commitment to tackling market abuse.

Background

1. Matthew and Nicholas West pleaded guilty to 6 instances of insider dealing on 9 May 2025.
2. Matthew West's date of birth is 14 March 1981, and he currently resides in Berkhamsted, Hertfordshire.
3. Matthew West pleaded guilty to 4 counts of insider dealing on stocks himself:
   1. Proactis Holdings plc, between 3 and 11 November 2016 with profits of £5,912.
   2. Palace Capital plc, between 17 September and 10 October 2017 with profits of £2,737.
   3. Concha plc, between 18 and 23 September 2017 with profits of £12,713.11.
   4. Bushveld Minerals Ltd, between 21 and 27 March 2018 with profits of £2,432.25.
   5. And a further instance of disclosing inside information to Nikolas West: Asimilar Group plc, between 5 and 18 January 2020.
4. Nikolas West's date of birth is 4 December 1978, and he is now based in Dubai.
5. Nikolas West pleaded guilty to 1 count of insider dealing in relation to Asimilar Group plc, between 5 and 18 January 2020 with profits of £20,370.
6. The total confiscation orders amounted to £181,615 for Matthew West, and £102,150 for Nikolas West.
7. The Proceeds of Crime Act 2002 allows ‘benefit’ of crime to be calculated as property obtained in the course of the criminal conduct. In this case, the proceeds of insider dealing are calculated as including the full value of the shares traded (where stocks are purchased) and consideration paid, in addition to the profits made. The proceeds are adjusted for inflation to reflect the value as at the time of the order, ie in 2025, and therefore the sums involved include an uplift.
8. Matthew and Nikolas West will have to pay the £280,000 in full within 14 days or face up to an additional 18 months in prison for Matthew West, and 12 months in prison for Nikolas West. They were also ordered to pay a contribution of more than £50,000 to the prosecution's costs.
9. Matthew West and Nikolas West have been self-employed for several years, working as professional day traders.
10. Brokers provide legitimate information via ‘wall crossing’. Wall crossing means providing non-public and price-sensitive information to a third party, and it is a legitimate practice in financial markets. When investors are ‘wall crossed’ there is a non-trading and confidentiality agreement in place, which reflects that improper disclosure is a criminal offence. Matthew West was approached as a potential investor.
11. AIM is a sub-segment of the London Stock Exchange designed for smaller, high-growth companies. As of 2025, AIM has a combined market capitalisation of approximately £81 billionLink is external .
12. As these offences predate 1 November 2021, when the maximum sentence available increased to 10 years, the insider dealing here is punishable by a fine and/or up to 7 years’ imprisonment.
13. To report market abuse to us or to speak to someone about it, please see our market abuse webpage.