Other Citywire websites
Stay connected:

View the article online at http://citywire.co.uk/new-model-adviser/article/a648265

Expelled Sesame IFA loses legal battle for FSA authorisation

by Michelle Abrego on Jan 03, 2013 at 12:34

Expelled Sesame IFA loses legal battle for FSA authorisation

A former Sesame IFA has lost an appeal to be authorised by the Financial Services Authority (FSA) after failing to tell the regulator he was expelled from the network for allowing an introducer to give regulated advice.

Sidney Cordle, sole director of Sheffield-based Scott Briscoe, took the FSA to Tribunal over its decision to refuse him authorisation after he failed to admit he had been investigated for misconduct and had his contract terminated at Sesame.

In January 2011, Sesame terminated his contract after an investigation found an unqualified introducer, Mark Foster was giving financial advice to clients with the knowledge of Cordle.

The investigation found that out of ten clients contacted two confirmed that Foster had been their adviser, three named Cordle and the rest could not remember. Some files inspected by Sesame also showed that on at least four occasions, that Cordle was aware of, Foster had forged Cordle's signature.

Foster was neither approved by the FSA or had professional indemnity insurance cover.

In February 2011 Cordle applied to be directly authorised with support services provider SimplyBiz, to which he did not fully disclose the Sesame investigation.

In April 2011 the FSA issued a warning notice indicating it proposed to reject his application. The warning notice was issued ahead of a  Regulatory Decisions Committee hearing, where Cordle stated the information that he had provided to Sesame about Foster giving advice had been untrue.

The Tribunal said: 'Our conclusion is that the FSA had sound reasons for rejecting the applications for authorisation and approval. Both applications turn on the fitness and propriety of Cordle to perform the relevant controlled functions. We herefore uphold the terms of the decision notice.'

2 comments so far. Why not have your say?

Mr Man

Jan 04, 2013 at 11:13

It seems to me that the only thing that Sidney Cordle did wrong was to rely on the clients remembering that Mark Foster was not their actual adviser !. I've sent para planners to deliver documents to a clients on many occasions. Unfortunately if they go too often the clients gets confused and start relating to the para-planner as the adviser. This is more about failing to disclose again. Forged signature ? On what ? An internal FF?. That was a bit silly of course but

Is it really a reason to wreck a career. This country stinks of corruption and injustice. What we need is a revolution and the first head to chop Hector Sants. (I will never refer to his title?

report this

martin mcnamara via mobile

Jan 04, 2013 at 15:56

hmm it maybe more than that, but i am more than willing to do tamegishi demo on said knight errant

report this

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

Read more...

Perspective managing director Keeling exits

by Jun Merrett on Apr 25, 2014 at 08:02

Sorry, this link is not
quite ready yet