FCA has publicly censured Horn Express Limited (formerly Qaran Express Money Transfer Limited) for failing to safeguard and segregate customer funds. This is the first action taken for misconduct by a payment institution registered under the Payment Services Regulations (PSRs). FCA found many failings, including that the firm:
- mixed customer funds with its own moneys and did not record accurately how much of that money was customers’ funds;
- failed to properly reconcile the customer funds held in its bank account;
- did not set the bank account up correctly; and
- failed to sufficiently supervise its branches and agents.
FCA would have fined the firm over £136,000 but for evidence the fine would cause serious financial hardship. The firm has not traded for over a year. (Source: FCA Censures Money Transfer Business)