Three arrested in FCA boiler room investigation

Three individuals, including two men aged 32 and 41, and one woman aged 32, were arrested and interviewed in connection with an investigation into boiler room activity, the Financial Conduct Authority has said.

Yesterday morning (14 January), the FCA, with the assistance of the City of London Police, executed search warrants at six addresses in Kent, Essex and Bedfordshire.

The arrests are not linked to any other ongoing investigation.

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No further details can be confirmed at this time and no individuals have been charged, the FCA said.

Boiler room operations usually use high-pressure selling techniques to persuade consumers to buy shares that are often worth very little or nothing at all.

Because the people selling shares through boiler rooms do not have permission from the FCA to do so, boiler room scams constitute unauthorised business.

Carrying out unauthorised business is an offence punishable by terms of up to two years imprisonment or a fine or both, and money laundering is punishable by up to seven years imprisonment or a fine or both.