FSA stops 'accountant' taking deposits
The Financial Services Authority has obtained a permanent injunction against a bankrupt, unqualified accountant barring him from accepting illegal deposits.
Link: FSA fine BoS for ‘inadequate’ controls
Alan Evitts, a bookkeeper from Glossop in Derbyshire, was served with the court order after the High Court found that he had taken nearly £150,000 in illegal deposits and had made a number of false and misleading statements.
According to the FSA, Evitts took money from at least 14 people, some of whom lost as much as £10,000 each, after he promised widely varying rates of return on their money, include promising one client he would treble their money within 15 to 18 days.
Brian Dilley, head of the FSA’s enforcement division said: ‘Mr Evitt has preyed upon his clients by offering wildly exaggerated interest rates and telling lies to encourage them to lend him money. His activities have resulted in substantial losses for local people.’
The injunction order follows an investigation by the watchdog which began in April 2002. Soon after though, Evitt breached an agreement with the FSA not to take any further deposits after his assets were frozen.
Since then Evitt has been declared bankrupt and his assets have been taken over by a trustee in bankruptcy.