The Financial Conduct Authority (FCA) has fined Davis Davis, senior partner and compliance officer of Paul E Schweder Miller & Co, £70,258, and Vandana Parikh, a broker at the same firm, £45,673, for failing to act with due skill, care and diligence in the period leading up to the illegal manipulation of the closing price of securities traded on the London Stock Exchange (LSE) by Rameshkumar Goenka, a Dubai based private investor, in October 2010. The FCA concluded that Parikh had explained the process of manipulation to Goenka without proper challenge or enquiry as to his intentions, and without discussing the possibility that Goenka had a related structured product despite suspecting such. Davis was aware of sufficient information to constitute clear warning signals and failed to take preventative steps before authorising the trades, or to report the trades as suspicious after the event. The action taken by the FCA highlights the proactivity required from individuals involved in a trading chain to challenge and report suspicious behaviour.