The Australian Securities Exchange (ASX) has fined Credit Suisse Equity Australia $65,000 plus GST for breaching a number of market transaction procedures.
The fines relate to cash market transactions in which Credit Suisse failed to meet the standard settlement term of three business days after the transaction took place.
In one case, the company settled 39 days after the transaction took place.
The investment bank also executed a short sale of shares in Coca-Cola Hellenic Bottling Company, securities of which are not on the list of approved short-selling products.
The short sale was the result of an unintended trading error, the ASX's disciplinary tribunal said.
The transaction took place on 2 August 2007, more than a month before market regulator ASIC put the ban on short selling in place.
Credit Suisse was also fined for a breach of the risk-based capital requirements, which dictate that a company has to make sure its liquidity capital is greater than its total risk requirement.
The investment bank had miscalculated its capital ratio, which fell as a result of a stock lending and borrowing transaction in which a stock loaned by Credit Suisse was not returned as planned.
Credit Suisse discovered the mistake itself and notified the ASX.
In determining the penalties, the ASX took into consideration the fact Credit Suisse had agreed not to contest the fines.
