Trader battling US extradition

A TRADER accused of involvement in a £547bn US stock market ‘flash crash’ has turned to UK courts to resist America’s extradition demands.

Navinder Sarao was dubbed the Hound of Hounslow after allegedly helping to cause a panic in Wall Street while trading from his bedroom at his parents’ West London home.

Home Secretary Theresa May signed an extradition order earlier this month, but the 37-year-old’s lawyers have now lodged a High Court appeal.

US authorities have filed 22 counts of market manipulation against Sarao. The FBI claims he placed huge orders for shares before rapidly cancelling them, which drove down prices – a practice known as spoofing.

This is said to have netted the trader profits of about £30m but also contributed to a crash in 2010 which wiped around £547bn off the Dow Jones in a matter of minutes. Sarao’s lawyers maintain he has done nothing wrong. If found guilty, he faces up to 380 years in prison.