As the FSA considers bringing in regulation to ensure mobile voice and data is recorded from Blackberry Smartphones and other smartphone devices for regulated companies, will these organisations simply block their employees from using webmail, corporate email and instant messaging in addition to blocking them from making any trading calls from their mobiles?
This would be an extremely backward step for organisations to take in my opinion. Will there be an outcry from BlackBerry/ smartphone users in the UK? In the U.S. financial institutions have resorted to this for a while to comply with the Federal Rules of Civil Procedure (FRCP).
FRCP Rule 26(a) requires an exhaustive search for and identification of sources of discoverable electronically stored information (ESI), including email, voice, and video content. In the case of email, this disclosure may require references to email that may be stored on backup tapes, employee PCs, and/or BlackBerry devices. In addition, the Financial Industry Regulatory Authority (FINRA), SEC, and National Association of Securities Dealers have strict regulations governing the preservation of electronic communications.
The FSA in the UK is considering implementing similar regulations and have gone to consultation on this in the last 2 weeks.
But the technology is available now for organisations to achieve voice recording compliance both on landlines, smartphones and BlackBerry devices, therefore enabling a more mobile workforce. In addition, should the main offices and landlines be affected by any business interruption, traders will be able to continue working compliantly from their mobiles from any other location.
Simply blocking mobile device usage to comply with FSA regulations is both short-sighted and backward, especially when the technology is available now to enable mobile voice recording.
