Ex-FSA boss to grow deals at JC Flowers

JC Flowers, the US private equity firm, has strengthened its ranks in the City and Europe by hiring former Financial Services Authority boss Callum McCarthy and veteran Australian banker David Morgan.<br /><br />London managing director Ravi Sinha will step down to make way for the high-profile recruits to the $11bn (&pound;6.6bn) fund.<br /><br />JC Flowers was founded in 1998 by chairman Christopher Flowers, a former Goldman Sachs dealmaker whose focus on financial services mergers has made him a billionaire.<br /><br />He said McCarthy and Morgan would help the company snare investment opportunities in Europe and Asia Pacific.<br /><br />McCarthy, who stepped down as chairman of the FSA just over a year ago, will take up the new post of European chairman.<br /><br />Before joining the FSA he headed Ofgem, the regulator for the gas and electricity industries, and has also held senior positions at Barclays during his career.<br /><br />McCarthy, an Oxford graduate who is married with three children, took his first job in the City in 1985 at investment bank Kleinwort Benson.<br /><br />Morgan will take up the role of managing director for Europe and Asia Pacific.<br /><br />A high-profile banker in Australia for the past two decades, Morgan&rsquo;s reputation grew as a consequence of the global economic crisis.<br /><br />As chief executive of Westpac, one of Australia&rsquo;s big four banks, between 1999 and 2008, he ensured the bank survived the downturn much better than its international rivals.<br /><br />Most recently Morgan was a director of BHP Billiton, the world&rsquo;s biggest miner, a role he quit this week to focus on JC Flowers.<br /><br />He worked at the International Monetary Fund in Washington in the 1970s and the Australian Federal Treasury in the 1980s, where he headed all major areas before being appointed senior deputy secretary.<br />