Three senior staff members at Bloomberg have left following an internal probe regarding their handling of third-party data brought to attention by a whistle-blower.
According to Financial News London, a person familiar with the situation revealed that the trio, who all worked within Bloomberg’s electronic trading business, came into possession of third-party information said to be handed over by a client.
Whilst the investigation found the employees did not misuse any information, they should have informed the HR or legal department.
The matter was raised by a whistle-blower, who no longer works at the financial data provider. The whistle-blower raised concerns that the employees did not handle such material in line with Bloomberg’s policies.
A lawyer – who specialises in financial services regulation – said the biggest risk for any financial data and trading provider is the risk of information being used for market abuse or insider trading. The lawyer said that any firm involved in a market’s infrastructure, despite not being a participant itself, “needs to be cleaner than clean.”
The market industry relies on Bloomberg’s terminals for trading. Whilst Financial News were unable to obtain precise details regards the case, it highlights the importance of HR’s role in data-handling.
Whilst data-handling at Bloomberg was already pertinent, considering the nature of the business, GDPR has jolted several industries into tightening their controls – with HR stepping up to create a culture of compliance.
Speaking to HR Grapevine, Ken Gaines, City & Guilds’ Digital Industry Expert, advises: “Organisations need a good governance policy, outlining who is responsible for security, clear lines for reporting, ensuring risk management, carrying out reviews around possible threats and determining relevant actions.” HR departments are also tasked with managing the risk GDPR addresses, rather than just looking to comply.
However, as most HR practitioners know, engagement cannot be forced. To read more about instilling a culture of data compliance and how to reduce risk in your organisation, click here.