i-law

Compliance Monitor

LCF report lifts lid off FCA failings

The collapse of London Capital & Finance in 2019 after acquiring £236 million from 11,600 customers – many of whom were inexperienced or elderly investors – has exposed serious shortcomings at the regulator. A report by Dame Elizabeth Gloster into the Financial Conduct Authority’s supervision of the firm highlights numerous red flags and warnings that went unheeded, dysfunctional silos, miscommunication to the public, along with a culture that disavows responsibility where authorised firms conduct unregulated business. Adam Samuel dissects the disaster.
Online Published Date:  05 March 2021

Operational resilience put to the test, as new regulatory framework impends

An unexpected and unprecedented threat to theoperational resilience of the financial services sector swept the globe lastyear. Yet while firms were largely able to contain disruption from the Covid-19crisis, they must now prepare for an onerous new regulatory framework,including an extensive papering exercise, write Adam Jamieson, Samantha Pauland Anthony Williams.
Online Published Date:  05 March 2021

Horizon-scan for the payments, consumer credit and mortgages sectors

The global pandemic continues to poseconsiderable challenges for financial services and, in some instances, hasaccelerated changes in business models and consumer behaviour. Emma Radmoreand Angie Bamboulis survey the horizon for payments, consumer credit andregulated mortgages firms; as well as the measures being adopted to alleviatethe impact of the economic situation on financial services businesses andcustomers.
Online Published Date:  05 March 2021

Enforcement during lockdown and beyond

How active have the UK regulators been onthe enforcement side during the pandemic? Nathan Willmott and AdamJamieson discuss caseload statistics, remote interviews and the outlook forthe remainder of 2021.
Online Published Date:  05 March 2021

Treasury consults on regulatory approach to cryptoassets and stablecoins

In January, HM Treasury opened a consultation on the regulation of cryptoassets and stablecoins as part of its wider consultative process on the Government’s approach to cryptoasset regulation. Charlotte Hill, Clare Reynolds and Lauren Clarke examine the proposals and consider next steps.
Online Published Date:  05 March 2021

FCA v Arch Insurance – Supreme Court partially rescues the insured

The United Kingdom’s highest court hasdetermined that all the insuring clauses under discussion in the FinancialConduct Authority’s test case will provide cover for business interruptioncaused by the coronavirus pandemic. Adam Samuel analyses the judgment.
Online Published Date:  05 March 2021

Charles Schwab fine reminds firms of client asset pitfalls

An £8,963,200 penalty meted out by the Financial Conduct Authority should prompt firms that are part of a larger corporate group to review the final notice carefully as well as ensure their legal entity specific records, custody accounts at third party depositaries, reconciliations and resolution packs are in order, says Denis O’Connor.
Online Published Date:  05 March 2021

FCA consults on April return to repossessions

By Neasa MacErlean
Online Published Date:  09 March 2021
Appeared in issue:  Vol 33 No 7 - 08 March 2021

FCA presses “nuclear button” against NatWest with criminal AML charges

National Westminster Bank plc will appear before Westminster Magistrates’ Court on 14 April [2021] to answer charges that it failed adequately to monitor and investigate “increasingly large cash deposits” by a UK incorporated customer between 11..
Online Published Date:  16 March 2021
Appeared in issue:  Vol 33 No 7 - 08 March 2021

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