The Financial Services Authority said it had fined Steven Harrison, a former hedge fund manager with Moore Europe Capital Management, £52,500 for using inside, restricted information to buy the bonds of Rhodia, the French chemicals maker, days before a debt restructuring.

The regulator said Mr Harrison, who also voluntarily undertook not to work as a fund manager or trader for a year, was given restricted information by Credit Suisse who called Mr Harrison to get feedback on the proposed pricing and details of Rhodiaâ??s refinancing.

After talking with the bank, Mr Harrison gave instructions to purchase up to 10m of the companyâ??s 10.5 per cent bonds maturing in 2010.

Moore Credit Fund made a â?¬44,000 profit on the 2m bonds it had purchased after they were included in the refinancing.