Gay Huey Evans, a high-level regulator for the United Kingdom Financial Services Authority (FSA), is announced to become a president of a European arm of a Citigroup-owned hedge fund, Tribeca Global Management LLC, The Wall Street Journal reports.

The hedge fund's new hire is yet another example of a high-finance executive moving into the growing world of hedge funds.

The FSA's former director of the markets division, where she spent seven years, will now handle the hedge fund's operations in Europe.

The watchdog's shift may seem especially controversial in light of Citigroup's pending judgment from FSA for a series of trades executed last August that supposedly disturbed the fixed income markets in Europe. FSE, on the other hand, in a statement, refused the potential conflict of interest.

According to the head of the FSA's press office Bob McIvor, Evans "has not been involved in and has had no access to any information about Citigroup or any other firm that we're involved with from an action point of view since she notified us of her intention to leave."

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