On the subject of fines, February started with the FSA releasing details of Simon Treacher mis-marking fund assets whilst a fund manager at BlueRay Asset Management Ltd. Mr Treacher was fined £140,000; the FSA made no criticism of BlueRay.
Although it is a relief for all that the FSA didn’t find some reason for apportioning blame on the firm, it is interesting to compare the FSA approach here with that of Fabien Risk Services and Stephen Allen, one of its Director’s who received a ban.
Here two co-directors colluded to misuse client funds without the knowledge of Mr Allen. The evidence shows that the two co-directors prepared false and misleading accounting records which could have misled Mr Allen. In addition he reported the matter to the FSA. However despite this Mr Allen was deemed to have failed in his duty as a director of a regulated firm (the perpetrators each received a ban as well).