| Link(s): | Market bulletin (lloyds.com) |
Context
Background: In Market Bulletin Y5252, Lloyd’s set out its policy in relation to conduct involving harassment, bullying, discrimination, alcohol or drugs. The proceedings against Atrium were brought as a result of serious failures by the firm including failures by senior managers. Instances of non-financial misconduct having taken place over a number of years which, in Lloyd’s view, precipitated a culture which tolerated instances of unacceptable conduct involving discrimination, harassment and bullying.
Key points to note
- Lloyd’s has issued enforcement proceedings resulting in public censure, a fine of £1,050,000 and the payment of £562,713.50 Lloyd’s costs. In agreeing the fine, Lloyd’s accepted a 30% discount as Atrium settled the proceedings at the earliest opportunity, without the discount the fine would have been £1,500,000.
- Atrium Underwriters Limited (Atrium) has accepted three charges of detrimental conduct relating to non-financial misconduct by Atrium employees and the way Atrium responded to the allegations of misconduct. The notice of censure gives details of the matters that gave rise to these proceedings.
- As yet there is no disciplinary action notice on the Financial Services register for this firm, so currently this is Lloyd’s enforcement proceedings. However, this is indicative of the general direction of travel regarding non-financial misconduct
Next actions
None – for information and awareness