Shanti is the first individual to be prosecuted by the regulator after he claimed that his company, Chase Capital Finance Limited, was authorised by the FSA.
Shanti and Chase Capital were found guilty of placing advertisements in the BT Telephone Directory and Yellow Pages, falsely stating that Chase Capital Finance was authorised by the FSA to carry out regulated financial services.
Chase Capital, which is no longer trading, was also fined £1,000 for the offence by Didcot Magistrate’s Court.
Shanti and Chase Capital were also ordered to pay £1500 each in respect of the FSA’s costs.
The regulator says there was no evidence that any consumers had lost out as a result of the advertisements.
FSA director of enforcement Margaret Cole says: “By lying that his company was authorised, Mr Shanti undermined the FSA’s process for ensuring that people who work in the financial services market are fit and proper. We take false claims of authorisation seriously and where possible will prosecute to the full extent of the law anyone suspected of doing so.”