John Byrne, a former senior employee of Cologne Reinsurance in Dublin, was yesterday banned from working as a reinsurance specialist in the UK and Australia following a coordinated clampdown by financial regulators around the world.

In a statement on its website, the UK's Financial Services Authority (FSA) said it had come to light that Mr Byrne, who ceased working in Ireland in October 2004, was involved in arranging and structuring a number of financial reinsurance transactions that enabled counter party insurers to misrepresent their financial position.

As a result the FSA and the APRA, the Australian regulator, have prohibited him from working in any senior financial position in the UK or Australia for five years.

"Mr Byrne's conduct fell below what we would expect of those working in authorised firms," said Margaret Cole, the FSA's director of enforcement.

"He was aware it was likely that counter party insurers would use the transactions to misrepresent their true financial position," added Ms Cole.

In order to work in such positions, directors must be approved by the relevant regulator.

Patrick Neary, chief executive of the Irish Financial Services Authority, welcomed the clampdown and in particular the cooperation between regulators from different countries.

"We are pleased with the constructive cooperation within the FSA and APRA on this case," he said.

"The successful outcome to this investigation reinforces our belief that international cooperation of this matter is the best way to deal with the challenges of regulating global businesses such as reinsurance."

Four other Cologne Re workers were indicted in the US earlier this year following a lengthy investigation by Irish and US authorities into malpractice in the reinsurance sector.