Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

FCA 'dawn raids' double in 2013 on boiler room crackdown

FCA 'dawn raids' double in 2013 on boiler room crackdown

The number of so-called 'dawn raids' conducted by the Financial Conduct Authority has almost doubled in one year. 

According to law firm Reynolds Porter Chamberlain (RPC), the regulator conducted 20 raids in 2013 versus 11 in 2012.    

RPC attributed the rise to the financial watchdog's crackdown on 'boiler room' scams.

The number is set to escalate further this year after 110 people, including 20 in the UK, were arrested in dawn raids as part of Operation Rico, a multi-jurisdiction investigation into boiler room fraud.

Last week the National Crime Agency and Kent police arrested a 21-year-old as part of the financial watchdog's investigation.

RPC regulatory partner Richard Burger said: 'Looking at all the current FCA criminal investigations it is clear that the FCA is widening the scope of its investigative responsibilities.'

He added: 'It is important that the FCA meets its consumer protection remit by cracking down on boiler room frauds but it is crucial that it doesn’t lose momentum in tackling complex financial crime like insider dealing.'

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Navigating geopolitical risk with ETFs

Navigating geopolitical risk with ETFs

ETFGI’s Deborah Fuhr on how investors can use exchange-traded funds to position their portfolio.

Play Sarasin’s Boucher: why I like salmon with chocolate

Sarasin’s Boucher: why I like salmon with chocolate

Henry Boucher, manager of the £129 million Sarasin Food & Agriculture Opportunities fund, explains why he is gobbling up salmon and chocolate stocks.

Play Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Libby Ashby and leading wealth managers analyse what the Alibaba IPO hype means for Chinese equities, slowing growth of the UK economy and whether there’s anything left to play for in the European sovereign bond market.

Your Business: Cover Star Club

Profile: Barclays' former advisory boss on his move into property

Profile: Barclays' former advisory boss on his move into property

On paper, Rick Denton might have been expected to finish his career in banking

Wealth Manager on Twitter