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What it’s like to blow the whistle on a £25m financial scandal

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What it’s like to blow the whistle on a £25m financial scandal

What is the hardest thing you have ever done that was the right thing to do? 

In this podcast we get the inside story from George Patellis, the former chief executive turned whistleblower of bridging loan firm Tiuta which the collapsed £100m million Connaught fund invested in.

Blowing the whistle to the regulator, as well as his ‘crusade’ to get justice, has had a hugely negative impact on Patellis’ life.

Despite alerting the Financial Services Authority (FSA), as it was known then, to a £25 million black hole in early 2011, £68 million of investor money poured into the Connaught fund in the months until its collapse in September 2012 (most of this was invested through IFAs).

Patellis’ concerns were initially largely ignored by the FSA and later the regulator said it did not even classify Patellis as a whistleblower (although he was later awarded £500 from the regulator for its failings).

When approached for the podcast, an FCA spokeswoman said: ‘We have already apologised to Patellis and committed to an independent review into the regulation of firms connected with the Connaught Series 1 Income Fund.’

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1 Comment Play Asset managers: 'There is going to be a distribution revolution'

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