FCA fines and bans former London Capital & Finance director
The Financial Conduct Authority (FCA) has fined and banned a former London Capital & Finance director after he “recklessly signed off” on hundreds of misleading financial promotions.
The regulator has fined Floris Jakobus Huisamen, who was responsible for compliance at LCF, £31,800. He qualified for a 30 per cent discount after agreeing to settle the case.
LCF, which went into administration on 30 January 2019, marketed minibonds to retail investors. The company’s collapse left investors facing losses and in October 2023, the FCA censured the company over its misleading minibond promotions.
These promotions were signed off by Huisamen, the regulator said, making the minibonds appear “a far more attractive investment than they were”.
Read more: LCF creditors to get smaller dividends as administration costs near £8m
Huisamen “failed to provide proper scrutiny or sufficiently challenge senior management,” the FCA noted, and he failed to obtain evidence of the claims being made on the promotions.
“Mr Huisamen should have ensured LCF’s financial promotions were ‘fair, clear, and not misleading’. However, under him, the approval process became an ineffective tick-box exercise – as a result, thousands of investors were persuaded to invest on the basis of highly misleading statements,” commented Therese Chambers, joint executive director of enforcement and market oversight at the FCA.
“His failings contributed to thousands of retail investors losing significant amounts of money. It is right that he can no longer work in financial services.”
The Serious Fraud Office is currently considering the LCF case. The administration of LCF was extended until 29 January 2026, according to a filing made this week on Companies House.
Read more: LCF administration fees to pass £9m
Read more: Complaints commissioner dismisses investor complaints over LCF
