On June 9, 2016, the FCA published two final notices banning Mr. Mark Kelly and Mr. Patrick Gray from working in the UK financial services industry, effective March 1, 2016. Mr. Kelly traded under the name PCD Wealth and Pensions Management and Mr. Gray acted as an adviser on behalf of PCD. PCD advised over 350 customers and invested nearly £24 million in potentially unsuitable investments between 2008 and 2010.
Mr. Kelly’s conduct during the relevant period included investing customers’ pension funds in Portfolio Bonds, Unregulated Collective Investment Schemes and other investments without customers’ knowledge or consent by a process designed to prevent customers from discovering that their funds had been so invested and investing customers' pension funds without regard to the suitability of the investments for the customers. Mr. Kelly also falsely certified copies of customers' passports as showing true likeness of the customers without having met them. Mr.
Gray’s conduct included the provision of advice to customers in the knowledge that he had no qualifications or training to give such advice and recklessly providing customers with pension reports containing assurances that customers would receive advice and recommendations as to the investment of their pension funds when he was aware of the risk that customers' funds might be invested without their knowledge or consent. Mr. Gray also intentionally and dishonestly misled the FCA in a compelled interview by stating that he did not advise customers and that certain application forms he presented to customers to sign contained information about fees payable.
The conduct of both Mr. Kelly and Mr. Gray fell short of the standard of honesty and integrity expected by the FCA such that both individuals were considered not fit and proper to perform any function in related to any regulated activity carried on by an authorized person, exempt person or exempt professional firm.
Mr. Kelly’s final notice is available at: http://www.fca.org.uk/static/documents/final-notices/markkelly.pdf?_sm_au_=iVV5r1WMjfStnksr.
Mr. Gray’s final notice is available at: http://www.fca.org.uk/static/documents/final-notices/patrickgray.pdf?_sm_au_=iVV5r1WMjfStnksr.