
FSA hands £1m to UK 'boiler room' scam victims
Losses & Lawsuits
LONDON - UK regulators have secured a court order for the return of £1 million to investors caught up in a 'boiler room' scam operated by overseas entities selling worthless shares to UK investors. The Financial Servcies Authority (FSA) has obtained an order that Aniz Kassamali Dhanji Manji, owner of Bayshore Nominees, must return the money, while his co-conspirator and sole director of the firm, Suresh Maganlal Bhowan, will pay a further £17,233.
Investors received cold calls inviting them to buy shares from unauthorised short sellers Gatemore Securities and Enterprise Analytics. Gatemore and Enterprise sent out confirmation notes asking for payments. Bayshore then received the payments and these were spirited offshore via other accounts. Jonathan Phelan, head of the FSA's retail enforcement division, said he was pleased with the deal, but asked investors to remain vigilant of such cons as "in most cases consumers will never see any of their money again". The regulator has invited investors to contact it to secure their compensation.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe
You are currently unable to print this content. Please contact info@risk.net to find out more.
You are currently unable to copy this content. Please contact info@risk.net to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@risk.net
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@risk.net
More on Regulation
Grim repo warning spotlights BNP Paribas booking model
Federal regulators may be targeting French bank’s Paris-based book of US Treasuries
We’re all outliers now: Europe’s unflattering IRRBB test
Banks, fearing overreaction from supervisors, urge European Commission to reject NII-based assessment
SEC targets ‘dark magic’ in fixed-income pricing with Bloomberg fine
US regulator is going after pricing vendors that deviate from their published methodologies
Alameda’s mystery bank stake reignites Fed deposit debate
Crypto challenger Custodia accuses regulator of unlevel playing field over master accounts
More EU banks will fail new IRRBB test as rates push upwards
Half of all EU banks could cross outlier threshold for new test of net interest income
Finra head recognises ‘challenges’ for bond transparency drive
Cook says regulators thinking about industry’s operational and liquidity concerns
Why central banks shouldn’t ignore stablecoins
Rapid growth of stablecoins could impair monetary policy transmission
Hedge funds doubt tall tales around UK short-selling review
FCA has never used powers to ban short-selling, but reporting tweaks would be welcome