The Financial Conduct Authority today confirmed that it has withdrawn from the negotiations between Connaught Income Series 1 Fund (acting by its Liquidators) and its former operators, Capita Financial Managers Limited and Blue Gate Capital Limited. The FCA has now decided to formally investigate the activities of both operators.
The FCA had been supporting negotiations with the aim of securing an agreement between the parties to address the losses for investors in the Fund. The period for the negotiations has been extended more than once as it was considered to be in the interests of investors to do so.
Due to the level of public interest in the Fund, it was decided to make this decision public, but there will be no further comment until investigations reach a conclusion.
The fact that a firm is under investigation does not mean that the FCA has reached any conclusions on whether any wrongdoing has occurred.
Notes to editors
- On 1 April 2013, the FCA became responsible for the conduct supervision of all regulated financial firms and the prudential supervision of those not supervised by the Prudential Regulation Authority (PRA).
- The FCA has an overarching strategic objective of ensuring the relevant markets function well. To support this it has three operational objectives: to secure an appropriate degree of protection for consumers; to protect and enhance the integrity of the UK financial system; and to promote effective competition in the interests of consumers.
- Find out more information about the FCA.