Monday, 15 February 2016

FCA OMG NO please.

We are finding it hard to decide whether it is the FCA or Crowdcube who employ the higher grade of moron.

The recent debacle with Crowdcube funded Rebus threw up one very hard to explain fact. The pitch on the platform was being led by Richard Rhys, who was at the time (and still is) a banned person for the purposes of carrying out any FCA regulated activities.

The exact wording of the ban is  -

The FSA had decided to impose an order prohibiting Mr Rhys from performing any function in relation to any regulated activity carried on by any authorised person, exempt person, or exempt professional firm on the grounds that he is not a fit and proper person in that he lacks competence and capability.

The ban was the full 6 years, so was not some slap on the wrists.

When asked about this, the FCA have stated that as Rhys wasnt employed by Crowdcube and Rebus was not a FCA regulated company, he was not in breach of his ban.

We would strongly disagree.

How can actively taking part in an FCA regulated activity (he appears in the pitch video) on a platform regulated by the FCA not be '' performing a function in relation to a regulated activity carried on by an authorised professional firm''?

Are you surprised our financial institutions run rings around them?

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