London broker banned for misleading lenders

London broker banned for misleading lenders




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The Financial Services Authority has banned a mortgage broker for knowingly submitting false and misleading information about his income to obtain mortgages and loan advances.

East London based Ayodele Olubunmi Thomas was an approved person and the director of Atom Associates, a mortgage intermediary based in Silvertown, East London. He also conducted business as Divine Mortgages, a trading name for Atom.

 

The regulator found that HMRC records of the broker’s earnings, as declared for tax purposes, were substantially less than the amounts that he declared to lenders.

 

Despite claiming his income was genuine, with some coming from overseas investments and schemes, Mr Thomas failed to satisfy the FSA that the evidence of this additional income was reliable. 

 

Furthermore, when he applied for the various loans, he did not provide the lenders with any indication that his income came from anywhere other than his mortgage business and from within the UK.

 

Combined with a fraudulent mortgage application for his wife and two joint mortgage applications where the incomes declared to lenders were also shown to be misleading, the FSA concluded that Mr Thomas lacks honesty and integrity and is not fit to work in regulated financial services.

 

Margaret Cole, FSA director of enforcement and financial crime, said: “It was plain to see that [Mr Thomas] had misled the lenders about the sources and amount of his income. Consequently, he has lost his individual approval and has been banned from performing functions in authorised firms.”

 

The City watchdog added that it determined to remove from the sector any approved persons found to be making fraudulent applications.

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