A report in yesterday’s Derby Telegraph reveals that Jonathon Marsden appeared at Derby Crown Court after taking out a £19,000 loan in a client’s name.
The court heard how Marsden got her to sign the application without knowing what she was signing for, then took the cash for himself.
He then told another six clients to pay over a total of more than £3,000 for unnecessary valuation fees.
Marsden committed the crimes while working for a firm called Mortgage Options despite being sacked from another financial firm for forging documents and writing personal cheques.
Mortgage Options told the newspaper that Marsden was registered with the Financial Services Authority but a check did not flag up any issues.
A spokesman for the FSA is quoted as saying that it is trying to tighten up the regulation of self-employed mortgage brokers.