Tribunal upholds ban and fines for corrupt and dishonest adviser

The FCA's decision to ban Darren Antony Reynolds from working in financial services and fine him £2,037,892 has been upheld by the Upper Tribunal. 

Mr Reynolds was dishonest when he gave pension transfer advice and investment recommendations to his customers, causing them significant harm.

Mr Reynolds showed a clear disregard for his customers’ interests. He encouraged British Steel Pension Scheme members to transfer out of their defined benefit pension scheme, despite knowing that the advice was wholly unsuitable. He also advised his customers to invest in high-risk and unsuitable products while at the same time hiding high exit fees and falsifying documents.

Mr Reynolds’ misconduct exposed hundreds of people to serious financial loss. Over £17.6m has been paid in compensation to more than 470 affected customers, many of whom suffered losses in excess of statutory compensation limits.

In addition, Mr Reynolds let 2 unapproved people give pension advice, putting customers at risk. When confronted with his misconduct he lied to regulators, allowed important evidence to be destroyed, and moved his family home into a trust to avoid paying his debts.

Therese Chambers, joint executive director of Enforcement and Market Oversight at the FCA, said:

'Mr Reynolds’ misconduct was the worst we saw out of all the British Steel Pension Scheme cases, and he caused untold damage to his clients. He acted in a way that was corrupt and dishonest, putting his own profits before people’s pensions and acting without integrity as he tried to cover his tracks.  

'He has spent many years trying to evade responsibility for his actions. The Tribunal’s full endorsement of our findings now brings those efforts to avoid accountability to an end. We will pursue recovery of the penalty to the fullest possible extent and will not hesitate to bankrupt him if necessary. We will ensure that he does not retain a single penny of his corrupt profits.'

The Tribunal noted that 'Mr Reynolds is clearly guilty of dreadful misconduct over a protracted period, which had very serious adverse impacts on a large number of retail customers. He is, as the Authority alleged, a corrupt and dishonest man lacking integrity.'

Notes to editors

1. Upper Tribunal judgement (PDF)[1]
2. Final Notice 2026: Darren Antony Reynolds (PDF)[2].
3. Decision Notice 2023: Darren Antony Reynolds (PDF)[3]
4. In addition to the FCA’s enforcement action, Mr Reynolds was disqualified in May 2021 from acting as a company director for 13 years following an investigation by the Insolvency Service.
5. A Defined Benefit (DB) pension is a valuable investment with advantages that cannot be replicated by other investments. Strong reasons are required for it to be suitable for a person to exit a DB pension scheme in favour of another investment.
6. The Tribunal agreed with the FCA’s calculation of the financial penalty which reflects the seriousness of the misconduct and includes an uplift for the aggravating factors. No settlement discount was applied.
7. British Steel Pension Scheme – our approach to enforcement[4].
8. Information for customers wishing to make a complaint to the FSCS[5].
9. Find out more information about the FCA[6].