More pain at Collins Stewart

COLLINS Stewart, 490p last week, fell a further 10p to 417 1/2p as the row with ex-analyst James Middleweek took its toll.

The Financial Services Authority is looking into his market abuse accusations. But after six weeks it has yet to begin an investigation.

Collins chief executive Terry Smith said: 'They haven't yet called us and said, 'What about it?'. They are still reading the document.' The FSA is believed to have talked to Middleweek.

The stockbroker notched up a victory by raising £12m - £2m above target - for telecoms group GX Networks. The quality of Collins share issues was among Middleweek's criticisms.

Radio minnow Milestone, one float whose quality he questioned, was caught in the storm and fell 16p to 61 1/2p. It reassured investors that trading remains as expected.

Middleweek yesterday defended his £387,200 Collins share sale which came in July, shortly after he was fired and before filing his lawsuit. He denied that this constituted dealing with inside information. 'My lawyers said there was no problem,' he said.