(18 October 2023 – United Kingdom) HSBC is blocking staff from texting on their work phones in the latest impact of sweeping regulatory probes into the financial sectors use of unauthorised communication methods.
The group is in the process of disabling the function on employees’ company-issued phones, inferring that they will be unable to send or receive text messages. The ban on SMS applies across the bank as controls on financial institutions are ratcheted up to track communications in order to prevent financial misconduct after instances of market manipulation were discovered at major global banks.
HSBC incurred a US$45 million fine from US regulators in relation to heightened scrutiny over traders using messaging apps such as WhatsApp. HSBC's staff have reportedly already had WhatsApp uninstalled along with other instant messaging applications.
“Self-report, cooperate and remediate. If you adopt that playbook, you’ll have a better outcome than if you wait for us to come calling” asserted SEC Division of Enforcement Director Gurbir Grewal.