FCA Bans

Fare Dodger

Scott Robert

Barclay House

Whitworth Street West

Manchester

M1 5NG

0161 914 5727

In December 2014, Jonathan Burrows, a former Managing Director at Blackrock Asset

Management Investor Services Limited, was banned from working in financial services

by the regulator, the Financial Conduct Authority (FCA).

In November 2013, Mr

Burrows was challenged by a

Revenue Protection Officer at

The officer determined that Mr

Burrows had not paid the full fare

for the commute from his local

station in Stonegate, East Sussex.

Mr Burrows then admitted that he

had evaded the fare from

Stonegate to London on a number

of occasions over a five year

period. Instead of purchasing a

£21.50 Stonegate to London

ticket, he simply boarded the

train and swiped his Oyster card

(intended for journeys within

London only) on arrival in the

capital; thus, incurring a charge

of only £7.20. It is estimated that

Mr Burrows had saved almost

£43,000 through his illegal

actions.

The FCA also noted that Mr Burrows did not inform Blackrock of the matter.

Mr Burrows made an out of court settlement with Southeastern Railways and

will not be prosecuted.

Tracey McDermott, the FCA's director of enforcement and financial crime, said:

“Burrows held a senior position within the financial services industry. His

conduct fell short of the standards we expect. Approved persons must act with

honesty and integrity at all times and, where they do not, we will take action.”

Mr Burrows said, “I have always recognised that what I did was foolish. I have

apologised to all concerned and reiterate that apology publicly today. While I

respect the FCA’s decision today, I also regret it, coming as it did after a 20-

year career in the City that was without blemish”.

Obviously, Mr Burrows’ actions were not directly related to his role, and no

clients suffered direct financial loss. But, this episode highlights the need for

senior personnel within financial services to maintain the highest standards of

conduct and integrity at all times.

Individual authorisation is required from the FCA for those carrying out

‘controlled functions’, e.g. directors, chief executives, heads of compliance and

anti-money laundering officers.

The FCA assesses applications to carry out controlled functions using these key criteria:

• Honesty, integrity and reputation – any previous criminal convictions, disciplinary

action, breaches of regulatory rules, complaints or involvement in insolvent companies will

all be considered

• Competence and capability – whether the individual has the necessary skills,

experience and knowledge to perform their role

• Financial soundness – such as personal credit rating and any previous insolvency

events

Individuals who pass the assessment process are deemed to be ‘fit and proper’, but of course

these individuals must then maintain high standards of conduct and integrity throughout

their careers. The FCA has the power to impose fines and bans on holders of controlled

functions, in the same way that it can fine or ban a firm.

The information shown in this article was correct at the time of publication. Articles are not

routinely reviewed and as such are not updated. Please be aware the facts, circumstances or

legal position may change after publication of the article.

RESOURCES:

http://www.scottrobert.co.uk/consumer-credit-licence-applications/

http://www.theguardian.com/business/2014/dec/15/ca-ban-43000-fare-dodger-financial-

services-industry-blackrock-jonathan-burrows

http://uk.reuters.com/article/2014/12/15/uk-britain-fca-burrows-idUKKBN0JT0XU20141215