If you invested in fraudulent peer-to-peer firm Collateral, get in touch before 31 March 2025 to complain.
Collateral (UK) Ltd offered peer-to-peer style investments through a website that fraudulently claimed the firm was authorised and regulated by the FCA.
A Collateral director was able to fraudulently amend details about the firm's public entry on the FCA’s interim permission register, which made it look like it held interim permission to carry out consumer credit activities. The firm applied for full authorisation in March 2016.
During the authorisation process, we missed opportunities that could have identified that the firm didn't hold valid interim permission, and that the interim permission register was incorrect. Once we found out, we didn't act promptly enough to tell the firm to stop regulated business and to correct the register.
Following an investigation, we prosecuted the directors, who were sentenced to a total of 8 years imprisonment for their role in the fraud.
We've received complaints from investors about our actions in relation to the events at Collateral.
We've apologised to those who complained, and will make payments of £500 to those who invested in Collateral in recognition of the distress and inconvenience caused by our errors.
If you invested in Collateral and haven't complained to us yet, please complete our form before 31 March 2025.