Context
The FCA has published a Decision Notice, referring to breaches of FIT related to a lack of fitness and propriety in the consumer credit sector. The FCA has made an order, prohibiting Mr Howard Roland Duckett from performing any function in relation to any regulated activity carried on by an authorised person, exempt person or exempt professional firm; and withdrawn the approval given to Mr Duckett to perform the SMF3 (Executive Director) and SMF16 (Compliance Oversight) senior management functions at Beauforce Corporation Limited (Beauforce).
Key points to note and next actions
Mr Duckett has been an approved person at Beauforce since 20 December 2017, approved to perform the SMF3 (Executive Director) and SMF16 (Compliance Oversight) senior management functions.
A summary of the reasons given for the FCA’s actions are:
- Effective on 4 December 2020, Mr Duckett was disqualified from being a company director for a period of ten years. This was because he failed, whilst a de facto director of an unrelated company, to ensure adequate books and records were maintained.
- Mr Duckett was found to have repeatedly lied on oath before the Court during the disqualification proceedings, and had attempted to rely on fabricated evidence in his defence, in an attempt to distance himself from the company and to deny that he was a director of the company.
- Mr Duckett also failed to disclose to the FCA that he had been disqualified from acting as a director, despite being an approved person at the time, as required pursuant to COCON 2.2.4R.
The FCA determined that Mr Duckett is not a fit and proper person to perform any function in relation to any regulated activity carried on by an authorised person, exempt person or exempt professional firm. His conduct during the disqualification proceedings, which included providing answers which the Court considered to be untrue and/or fabricated, demonstrates a clear and serious lack of honesty, integrity and reputation.
In concluding that it is appropriate to impose its prohibition order and to withdraw Mr Duckett’s approval, the FCA has had regard to all relevant circumstances, including his failure to notify the FCA of his disqualification and the severity of the risk posed by Mr Duckett to consumers and to confidence in the UK financial system. The FCA considers that it is appropriate to take this action to advance its consumer protection and integrity objectives.