FSA bans mortgage broker in Birmingham
The Financial Services Authority (FSA) has, according to Bridging & Commercial, banned a mortgage broker in Birmingham in the West Midlands for giving false information to the FSA.
When applying for official authorisation from the FSA, Mohammed Hanif stated that Zaneb Sarfraz, his daughter-in-law trading under the name of Pak Property Centre had the necessary competence to be an ‘authorised person’. As such, she would be required to help manage and control Pak Property Centre and Mr Hanif confirmed this.
Following investigation, the FSA discovered Mrs Sarfraz did not understand the reason for the authorisation application and had little knowledge of the financial services industry.
After obtaining the authorisation on this false statement, Mr Hanif and Anmbur Saddiq, the mortgage advisor at Pak Property centre made false mortgage applications for Mr Hanif, a family member and Mrs Sarfraz.
The FSA director of enforcement and financial crime, Margaret Cole commented:
“This was a deliberate act of deception and exploitation by Hanif. He deceived the FSA by presenting sham governance arrangements during the authorisation process. In doing this seemingly he had no regard for the impact on the reputation of Mrs Sarfraz. This misconduct, which is very serious in itself, is compounded by the fact that he went on to use the authorised business to commit mortgage fraud.”
The FSA has reiterated that they must maintain the integrity of their authorisation process to ensure that dishonest people do not trade within the financial services industry.