UK FUND manager Arch Financial Products yesterday lost its challenge over a Financial Conduct Authority (FCA) ruling fining two of its senior executives, and banning them from working in financial services for reckless management of conflicts of interest.
The Upper Tribunal, an independent body whose decisions can be appealed, unanimously upheld the FCA decision from 2012 to ban chief executive Robin Farrell and former compliance officer Robert Addison and fine them £650,000 and £200,000, respectively.
The pair allegedly failed to disclose conflicts of interest in managing Arch Cru investment funds. Thousands of private investors lost up to 40 per cent of their initial investment when they were suspended in 2009.
A spokesperson for Arch told City A.M.: “While finding a lack of so-called integrity, it is notable that the Tribunal did not find any deliberate or dishonest behaviour.”