Vantage fined £700k for FSA authorisation failings

The Financial Services Authority (FSA) has fined Vantage Capital Markets LLP (Vantage) £700,000 for failing to prevent an individual from performing a function without obtaining FSA authorisation for more than four years.

An investigation by the regulator found that Vantage knew that the individual in question, Daniel Hassell, was not an approved person and that the FSA was not satisfied that he was a fit and proper person to perform a significant influence function.

However, Mr Hassell exercised a significant influence over Vantage and received approximately one third of the firm's profits, while on occasion being presented as an owner in correspondence and seen as such by some of the firm's staff.

The FSA stated: "FSA rules require those performing significant influence functions to be approved persons. At the time of its authorisation Vantage applied for Hassell to be an approved person as partner of Vantage. However Hassell was the subject of an FSA investigation."

In February 2007, the FSA told Mr Hassell that he was no longer being investigated but failed to approve him.

Despite this, Vantage failed to prevent Mr Hassell from exercising a significant influence over the firm until an FSA supervisory visit in 2009, resulting in the fine.

Posted by Tony Miller