Almost five years after he was banned by the Financial Services Authority, an independent financial adviser who forged investment documentation relating to his clients has been convicted.
Martin Rigney invested his clients into a high-risk, unregulated collective investment scheme at a time when most of them were elderly and this type of investment was not suitable for them.
Rigney forged documents by either signing signatures himself or photocopying the genuine signature of the client.
The case came to the attention of police in June 2012 following an investigation by the regulator into Rigney and his company, Topps Rogers Financial Management.
Derbyshire Police took on the case, because 68-year-old Rigney formerly lived in Hope, and the force began a long and complex investigation.
Rigney, of King Edwards, Rivelin, Sheffield, was arrested and charged with forgery.
The 10-week trial at Derby Crown Court resulted in him being found guilty of 16 counts of forgery on Thursday (20 July).
He was remanded into custody and will be sentenced on 1 September.
Our job is to protect and get justice for victims. We feel we have achieved that with this conviction. Julie WheeldonDetective Constable Julie Wheeldon, who led the investigation, said: “His clients trusted him and he abused that trust.
“It has had a devastating impact on their lives, emotionally as well as financially.
“Our job is to protect and get justice for victims. We feel we have achieved that with this conviction.”
The Financial Services Authority fined Mr Rigney £117,330 and banned him from performing any function in relation to any regulated activity in the financial services industry back in October 2012.
He was a partner and the only adviser working at Topps Rogers.
The FSA stated Rigney promoted and advised retail customers to invest in unregulated collective investment schemes (UCIS) without assessing their eligibility to receive Ucis promotions or explaining why his recommendations were suitable.
As a result of his advice, the FSA stated customers invested a substantial proportion of their investment portfolios in these complex, high risk products when they were unlikely to be suitable.
One of Rigney’s customers invested 89 per cent of his investment portfolio in Ucis.
Rigney also advised a retired couple to put 80 per cent of their investment portfolio in Ucis to provide an income for their retirement.
Rigney also carried out discretionary portfolio management without his customers’ knowledge, the FSA stated.
He switched customers’ investments into Ucis without notifying them or obtaining their signatures prior to making the transactions, the FSA claimed.
For example, the FSA found two customers said they were away on holiday on the date that the dealing instruction forms were submitted and therefore could not have signed the forms.
By 2012 Topps Rogers was in liquidation and Rigney was bankrupt.
Then director of enforcement and financial crime at the FSA Tracey McDermott said at the time of banning him: “Martin Rigney demonstrated a serious lack of competence by promoting complex, high risk products to his customers when they were clearly not right for his clients’ needs. He also acted without integrity by continuing to promote Ucis when he had no permission to do so, and arranging Ucis sales without his customers’ knowledge.
“His actions show a fundamental disregard for the interests of his customers.
“Under Rigney’s watch, Topps Rogers advised 94 customers to invest over £12m in Ucis. We have made our views on Ucis very clear: these high risk, complex products should not be promoted to the vast majority of retail investors in the UK.
“We will continue to take tough action against firms and senior management when they mis-sell these high risk products.”
emma.hughes@ft.com
