The Financial Services Authority has issued a warning notice against Carmody & May, the firm set up by former Mortgage Times directors Paul Carmody and Chris May.
The regulator has put out a statement dated April 6 stating that Carmody & May, the risk management firm set up by the two directors of the collapsed network in January, is not authorised under the Financial Services and Markets Act 2000 to carry out a regulated activity in the UK.
The statement reads: “Regulated activities includes, amongst other things, advising on investments, arranging deals in investments and establishing, operating and winding up a collective investment scheme.
“The FSA believes that the firm may be targeting UK customers.”
The FSA goes on to advise members of the public that redress schemes such as the Financial Services Compensation Scheme and the Financial Ombudsman Service are not available to those who deal with unauthorised firms, and have urged to consumers to check whether a firm is registered using the FSA register.
The firm’s website is no longer active.