On July 24, the FSA published the final notice issued to Stephen Goodwin, a commercial insurance broker at S Goodwin & M Best, which has now ceased trading.
The FSA found that between November 2008 and November 2010, when the firm was in financial difficulties, Mr. Goodwin and his partner (now deceased) retained a number of insurance premia from clients which they did not pay to insurers and intermediaries. Three clients suffered financial loss as a result of this. One client discovered they were not insured, and two clients paid the same premium twice to ensure their policies remained in force.
Mr. Goodwin was fined £471,846 for falling short of the required standards for approved persons in respect of honesty and integrity. This was made up of a disgorgement payment of £303,846 and a punitive payment of £168,000. This is one of the largest fines levied on an individual for insurance fraud, and sends out a clear message regarding the FSA's credible deterrence policy. Mr. Goodwin was also banned from performing any function relating to a regulated activity carried on by an authorised or exempt person or exempt professional firm.