A Morrisons executive, Paul Coyle, is reportedly the man arrested under an FCA insider dealing probeReuters

A man arrested under an insider dealing probe by the Financial Conduct Authority is the head of tax at supermarket Morrisons, it has been claimed.

According to the Daily Telegraph, Paul Coyle, group treasurer at Morrisons, is reportedly the 49-year-old arrested in Harrogate in December by the FCA and Yorkshire police during a dawn raid. The man's property was then searched by officers.

The arrest is alleged to be around the £216m (€262m, $355m) deal between Morrisons and online grocer Ocado. No charges have been made and the FCA would not comment. Morrisons also declined to comment.

Coyle was arrested on suspicion of buying Ocado shares ahead of the lucrative tie-up, said the Telegraph. Neither the police nor the FCA have named Coyle.

Those convicted of insider trading can face up to 20 years in prison and significant fines.

Under the deal, Ocado is providing the technology for Morrisons to operate online as well as some logistical support through its distribution centres.

It was a big step for Morrisons, which has long lagged behind other retailers in the internet grocery market.

The deal was also a big plus for Ocado, which has yet to turn out a profit, as it pocketed an initial £170m from the 25-year deal.

Over 2013, Ocado's share price lifted by more than 500%.