The regulator says that Keay’s failures made the business a target for mortgage fraudsters and ruled he is not competent or capable of performing any functions related to regulated activities, including giving advice.
It has cancelled authorisation of his firm, Jack Keay Mortgage Services.
The FSA found Keay’s business was used for the submission of mortgage applications containing false information and supported by falsified pay slips, bank statements and employer references.
FSA head of retail enforcement Jonathan Phelan says many failings were identified in what he calls a “very small mortgage broker business”.
He says: “When concerns about mortgage fraud were drawn to his attention by a lender, he delegated the task of following this up to his appointed representative and never thought to check on the outcome or make changes to his systems.
“After the FSA showed him examples of types of falsified documents submitted to lenders through his business, he still failed to demonstrate that he understood the risks.”