Release Date: 1st September 2016
To access the original FCA document, click here.
Summary
Elizabeth Anne Parry has been fined £109,400 and banned by the Financial Conduct Authority (FCA) from performing any function in relation to any regulated financial activity. Miss Parry repeatedly lied to the regulator about her qualification status to provide investment advice.
Authorised in May 2006, Miss Parry was required, since 2013, to hold a Statement of Professional Standing (SPS) and achieve the relevant professional qualifications as part of the Retail Distribution Review changes. Between January 2013 and September 2015, she made six misleading statements to the FCA, claiming she had attained the necessary qualifications and engaged with her professional body, the Chartered Insurance Institute (CII), regarding her SPS.
In October 2013, Miss Parry submitted a fabricated document to the FCA, purporting to be an SPS issued by the CII valid until January 2014. When asked to verify her qualifications in May 2014, she submitted a second fabricated SPS. After inquiries, the CII informed the FCA in July 2015 that Miss Parry had neither applied for nor been issued with an SPS. Miss Parry admitted her misconduct only during a compelled interview in November 2015.
Mark Steward, Director of Enforcement and Market Oversight at the FCA, stated: “We raised the minimum qualification standards in order to protect consumers from financial harm, and Miss Parry’s behaviour demonstrates a clear disregard of those standards and her duty to be honest with the FCA. We will not tolerate this sort of behaviour.”
The FCA concluded that Miss Parry’s behaviour demonstrated a failure to act with integrity, posing a risk to consumers and the financial system’s integrity. Consequently, she has been prohibited from performing any function related to regulated activities.
Miss Parry ceased to be authorised and has stopped trading since November 2015. She provided evidence of serious financial hardship, which led to a reduced financial penalty. Without her financial circumstances, the FCA would have imposed a penalty of £157,395 plus interest (or £135,100 with a 30% discount).
Key Takeaways for Other Firms:
- Ensure Compliance with Qualification Standards: Always attain and maintain the necessary professional qualifications and SPS.
- Honesty with Regulators: Provide accurate and truthful information to the FCA.
- Implement Robust Verification Processes: Regularly verify and document compliance with regulatory requirements.
- Consequences of Misconduct: Understand that misleading the regulator can lead to severe penalties and prohibition.
In conclusion, Miss Parry’s case underscores the importance of maintaining professional standards and integrity in the financial industry. Firms and individuals must adhere to regulatory requirements to protect consumers and uphold market integrity.
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