FSA bans broker for taking £1.5m from clients' accounts
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The Financial Services Authority has banned mortgage broker Rienzie Albert Joseph Asoka Silva from carrying out regulated activities, after taking £1.5m from clients’ accounts.
In June 2010 the High Court found that Silva had caused the net mortgage advance belonging to two clients to be paid into the account of another defendant for his own gain.
The High Court also found that he had assisted in the breaches of fiduciary duty, which the High Court held were committed by the FSA authorised firm in relation to which he was an approved person - Abbey Brokers.
On June 22 and July 29 2010, further to the High Court judgement Silva and the other defendants were ordered to pay the claimants the sum of £1,459,443 plus interest and £265,000 in costs. To date, only £49,486 has been paid to the claimants
On September 22 2010, the firm was placed in compulsory liquidation.
In the notice to Silva, the FSA, says: “You have acted dishonestly and without integrity whilst being an approved person at an FSA authorised firm, by causing the claimants’ net mortgage advance to be paid into another party’s account for your own purposes.
“Your misconduct goes directly to impugn your honesty, integrity and reputation and therefore demonstrates that you are not a fit and proper person to perform any function in relation to any regulated activity carried on by any authorised person, exempt person or exempt professional firm.”
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