FCA orders wealth manager to stop all operations

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FCA orders wealth manager to stop all operations
Mykhailo Polenok/Dreamstime

The Financial Conduct Authority has appointed an interim manager to take control of a wealth manager after "serious" regulatory and operational issues.

The regulator has ordered WealthTek LLP (which also has the trading names of Vertem Asset Management and Malloch Melville) to immediately cease carrying on all regulated activities, following serious regulatory and operational issues coming to light.

The High Court appointed Shane Crooks, Mark Shaw and Emma Sayers of BDO as interim managers of the firm.

Northumbria Police, working with the FCA, has arrested a 48-year-old man in connection with these concerns, and the FCA later interviewed the individual under caution.

WealthTek, which is FCA-authorised, is a wealth management firm which provides discretionary, advisory and execution-only services to its clients.

In a statement today (April 6), the FCA said it is in close contact with the firm and the interim managers regarding the fair treatment of customers, and more information will be available in due course.