Fight against fraud continues with FSA banning another two brokers
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The Financial Services Authority is continuing its fight against rogue brokers, banning another two mort-gage brokers last week.
The FSA has banned and cancelled the permissions of Essex-based broker Antoinette Davis, trading as Ability Mortgage Solutions, for not being fit and proper to run a mortgage brokerage.
Davis had previously been an adviser at another firm but when its proprietor was made bankrupt, she agreed to set up Ability Mortgage Solutions and act as a sole trader and continue servicing her previous employer’s client base.
The FSA concluded that Davis failed to establish appropriate systems and controls, take reasonable care to ensure suitable advice was given, understand the standards the FSA requires of authorised persons and prove that she was providing sound mortgage recommendations.
The regulator has also banned Noel Heaney, trading as Heaney Finance, based in Lisburn, County Antrim, Northern Ireland.
The regulator identified wide-ranging management and control problems across his business and a failure to treat customers fairly.
Heaney entrusted the running of his business to an inexperienced employee and did not ensure his advisers received adequate training and support.
Margaret Cole, director of enforcement and financial crime at the FSA, says: “This is a blatant example of a businessman taking insufficient interest in the conduct of business written in his name and ignoring repeated warnings about its deficiencies.”
In a separate incident last week, Nottinghamshire Police’s Fraud and Financial Investigation Unit arrested several people as part of a major mortgage fraud investigation.
The suspected fraud allegedly involves millions of pounds of funds obtained through fraudulent mortgages for properties in Notting-ham and surrounding areas.
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Readers' comments (1)
Anonymous | 7 Dec 2009 3:48 pm
When is the FSA going to stand accountable for the mess it has made of the finance system - systems & controls, integrity, they are principals they outline yet do not use, how can they dictate the above to business when they openly stand up and admit the goverment told them to leave ther banks alone and have a softer approach (integrity??) - at least Dick Turpin wore a mask - who regulates the regulator not the goverment they are worse
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