Release Date: 27th October 2015
To access the original FCA document, click here.
Summary
The Financial Conduct Authority (FCA) imposed a financial penalty of £50,000 on Andrew Peter Wilkins for failing to comply with Statement of Principle 6 for Approved Persons. As a Director of Catalyst Investment Group Limited, Mr Wilkins was found to have failed in managing Catalyst’s business with due skill, care, and diligence.
Reasons for the Fine:
- Initial Decision and Tribunal Referral:
- On 14 August 2013, the FCA decided to impose a £100,000 penalty and a prohibition order on Mr Wilkins.
- Mr Wilkins referred this decision to the Upper Tribunal (Tax and Chancery Chamber).
- The Tribunal directed the FCA to impose a reduced financial penalty of £50,000.
- The prohibition order was remitted for reconsideration, and the FCA decided not to impose it, finding Mr Wilkins does not lack fitness and propriety.
Key Takeaways for Other Firms:
- Due Skill, Care, and Diligence:
- Ensure directors and key personnel manage business operations with utmost diligence and care to avoid regulatory breaches.
- Compliance with Regulatory Standards:
- Maintain compliance with all applicable principles and standards set by the FCA to prevent penalties.
- Proper Management Practices:
- Implement robust management practices and oversight to ensure all business activities align with regulatory expectations.
- Tribunal and Appeals Process:
- Understand that decisions can be appealed, but outcomes may vary, including adjustments to penalties and reconsiderations of prohibition orders.
- Fitness and Propriety Assessments:
- Regularly assess and ensure the fitness and propriety of all individuals in significant influence functions.
By adhering to these guidelines, firms can better align with regulatory expectations and avoid substantial fines and penalties.
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