Collateral (COL) in Liquidation
Collateral uk .Where are we now May 3, 2024 13:14:29 GMT min, kermie, and 7 more like this
Collateral uk .Where are we now May 3, 2024 13:14:29 GMT min, kermie, and 7 more like this
Post by duck on May 3, 2024 13:14:29 GMT
The Treasury Committee is meeting the FCA next Wednesday.
I have submitted a series of documents including a list of questions that need to be answered.
Will anything be asked in the public hearing, I just don't know.
In the past the FCA have used 'the investigation' and onging legal actions to avoid scrutiny will they try something similar this time?
Back in May 2021 Nikhil Rathi sidetracked onto 'sophisticated hacks' wrt the changing of the register. This was of course nothing like what really happened, Peter Currie simply logged on with his FCA supplied log on and changed 'Regal Pawnbroker' to 'Collateral (UK) Ltd'.
At the time I couldn't publish the letter I sent to Mel Stride (then chair of the TC) due to the Court case so here it is now
I have submitted a series of documents including a list of questions that need to be answered.
Will anything be asked in the public hearing, I just don't know.
In the past the FCA have used 'the investigation' and onging legal actions to avoid scrutiny will they try something similar this time?
Back in May 2021 Nikhil Rathi sidetracked onto 'sophisticated hacks' wrt the changing of the register. This was of course nothing like what really happened, Peter Currie simply logged on with his FCA supplied log on and changed 'Regal Pawnbroker' to 'Collateral (UK) Ltd'.
At the time I couldn't publish the letter I sent to Mel Stride (then chair of the TC) due to the Court case so here it is now
Rt Hon Mel Stride MP, Chair, Treasury Committee
Dear Mr Stride,
We would like to thank the Committee for asking questions of the FCA on 12th May concerning Collateral and the Financial Services Register.
We understand that the Committee may be restricted at present from scrutinising most of the FCA’s failures over Collateral due to the enforcement investigation.
We wish to ensure you are aware that Collateral’s false register entry was not the result of any "sophisticated hack" (reference Q148). In fact the FCA left its interim permission register open to being manipulated, simply by a person at a registered firm using a log-in provided by the FCA itself. The FCA permitted the illegitimate change without any systems to prevent it. The FCA should not have allowed alteration of the registered firm name without validation.
The false information in the register was not mere “contact details” as suggested by Mr Rathi, it was the legal name of the firm, identifying which firm held the permission. The false register corroborated Collateral’s open claims to be FCA authorised and regulated. The FCA itself relied upon the false register entry in protracted dealings with Collateral for nearly 2 years.
The FCA continually advises consumers to rely upon the register, in its advertised ScamSmart campaign and in public interviews by FCA directors. Collateral would never have been able to sell regulated investments without the direct ongoing involvement of the FCA with the firm, which enabled the false registration to persist.
The FCA was legally responsible at all times for providing a secure register, as well as for correcting it after discovering the false entry.
We hope the Committee will keep a watch on the Collateral situation and, when it becomes possible, look further into these serious regulatory failures, which have badly harmed consumers. The full details with supporting references are in the report we have submitted to the Committee.
We strongly believe an independent review under the Financial Services Act 2012 is necessary in this matter. Please try to ensure the FCA is properly accountable for its actions.
Yours sincerely,
Collateral P2P Lenders
Dear Mr Stride,
We would like to thank the Committee for asking questions of the FCA on 12th May concerning Collateral and the Financial Services Register.
We understand that the Committee may be restricted at present from scrutinising most of the FCA’s failures over Collateral due to the enforcement investigation.
We wish to ensure you are aware that Collateral’s false register entry was not the result of any "sophisticated hack" (reference Q148). In fact the FCA left its interim permission register open to being manipulated, simply by a person at a registered firm using a log-in provided by the FCA itself. The FCA permitted the illegitimate change without any systems to prevent it. The FCA should not have allowed alteration of the registered firm name without validation.
The false information in the register was not mere “contact details” as suggested by Mr Rathi, it was the legal name of the firm, identifying which firm held the permission. The false register corroborated Collateral’s open claims to be FCA authorised and regulated. The FCA itself relied upon the false register entry in protracted dealings with Collateral for nearly 2 years.
The FCA continually advises consumers to rely upon the register, in its advertised ScamSmart campaign and in public interviews by FCA directors. Collateral would never have been able to sell regulated investments without the direct ongoing involvement of the FCA with the firm, which enabled the false registration to persist.
The FCA was legally responsible at all times for providing a secure register, as well as for correcting it after discovering the false entry.
We hope the Committee will keep a watch on the Collateral situation and, when it becomes possible, look further into these serious regulatory failures, which have badly harmed consumers. The full details with supporting references are in the report we have submitted to the Committee.
We strongly believe an independent review under the Financial Services Act 2012 is necessary in this matter. Please try to ensure the FCA is properly accountable for its actions.
Yours sincerely,
Collateral P2P Lenders