Simon Treacher, the former manager of BlueBay Asset Management’s emerging markets fund, has been fined £140,000 and banned from the industry for falsifying valuations and misleading investigators from the FSA.

Between August and October 2008, the FSA said, Simon Treacher “carefully cut out and pasted different figures on to seven original broker quotes”. He gave these to administrators who were valuing the assets in the UK-based fund he managed.

The changes amounted to “mis-marking” and boosted the value of his fund by $27m, the FSA said on Wednesday.

When BlueBay discovered the irregularities, it reported them to the FSA. Mr Treacher resigned and the Emerging Market Total Return fund was closed in November 2008.

Once worth £780m, the fund had lost more than 80 per cent of its value in the year before the closure.

The FSA said BlueBay had paid $650,000 to compensate investors who were disadvantaged by Mr Treacher’s actions. The regulator said it made “no criticism of BlueBay in connection with this investigation”.

Once considered a star in emerging markets debt, Mr Treacher previously worked at Moore Capital and Deutsche Asset Management.