The Plumber gets new appeal hearing

AN independent tribunal is to review the record £750,000 fine by the Financial Services Authority on controversial entrepreneur Paul 'The Plumber' Davidson.

The new hearing, on September 20, has been arranged after the decision of an earlier panel to step down after it emerged that the head of the tribunal, Terence Mowschenson QC, had been spoken to by Christopher Fitzgerald. He was chair of the committee that decided punishments for City wrongdoing and subsequently resigned.

Davidson is spending time at his Spanish villa - it reputedly takes ten minutes to walk from one end to the other.

He said he would attend the hearing, but added: 'I find it very odd that Terence Mowschenson, who excused himself from hearing the appeal, picked the members of the new tribunal.'

Davidson claimed the FSA's lawyers had warned him on the importance and far-reaching powers of the City regulator. 'I told them that if size was important, elephants would rule the world.'

Separately, it emerged that Davidson has settled a longrunning legal battle with City Index, the spread betting firm that was suing him for £900,000.

This followed a controversial £5m spread bet that Davidson allegedly made on the share price of Cyprotex, a small biotech firm that he was floating.

He said: 'We have settled with each other and we are big pals.' Davidson said he would have no hesitation placing further spread bets with City Index because 'they are the most honourable and pragmatic firm in the City'.

HALIFAX Share Dealing, one of the biggest stockbrokers, is to start offering contracts for difference (CFDs) to investors through a deal with City Index.

CFDs mirror the movement in share prices and enable investors to take a position without actually owning the underlying shares, making a profit or loss depending on the price movement over the period of the CFD.

City Index will provide the CFD dealing service, though it will be branded through Halifax Share Dealing, part of the HBoS banking group.