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FSA bans lying insurance broker brothers

The FSA has banned two Leytonstone insurance brokers for lying to cover up one brother’s fraud conviction and imprisonment.

Faraz Ahmed Siddique and Waqas Ahmed Siddique, principals of Aston Sterling Insurance Services, a firm specialising in insurance for taxicabs, have been banned after the FSA found that Faraz had colluded to hide his brother Waqas’ fraud conviction and subsequent imprisonment from the regulator.

Waqas Siddique was charged with conspiracy to defraud in March 2007. One month later he applied for individual approval to perform controlled functions at the firm. On his FSA application, he signed a declaration that he had no previous criminal convictions and was not the subject of any current criminal proceedings.

After Waqas’ imprisonment in June 2008, Faraz told the FSA that his brother had merely resigned. He then applied to take over the controlled functions, but at no point did Faraz notify the FSA of his brother’s criminal conviction and imprisonment, despite being aware that this was the reason for his brother’s resignation from Aston Sterling.

Faraz claimed he did not know about his brother’s conviction until he was sent to prison, but was living in the same house as Waqas at the time of the conviction.

FSA director of enforcement and financial crime Margaret Cole says: “Aston Sterling was only able to operate as an insurance intermediary because the Siddique brothers lied to the FSA. With invaluable assistance from the Metropolitan Police and the Prison Service, we established the full extent of the brothers’ concealment of material information that should have been disclosed to the FSA.

“We have made examples of Waqas and Faraz Siddique to send a warning to firms and individuals: do not lie to the FSA. This case, and others that are due to follow, serve as a clear signal about the consequences of giving anything less than full and frank disclosure of material information to the FSA.”


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There are 19 comments at the moment, we would love to hear your opinion too.

  1. Do you think they are Welsh

  2. One wonders if anyone who works for the FSA has a criminal record that they didn’t reveal on their application form.

    There are certainly enough lies on the FSA website.

  3. Incompetent Regulators Awards Team 2nd December 2009 at 2:09 pm

    When will the powers above realise this is just propoganda to keep the FSA etc in place. What a joke catching these small fry.

    No apologies for mentioning what about the banks?

    FSA = Time wasters and inhibiting to all businesses. I thought I would never say this but I would prefer a useless French regulator overseeing my business if teh FSA is the alternative.

    FSA staff go and sweep the streets……….and properly please.

  4. Is not just a case of disqualifying people who have lied on FSA registration forms it is also about enforcing regulatory advice. I am talking about the accountants to overstep the mark and also the solicitors where they do not hold FSA registration not still carry on giving advice to clients in the area investments and pensions well beyond their remit. There is also the whole area the buy to let market needs to be sorted out the surely this is investment advice even know it is talking about property only. How many people in the UK have been affected by the housing bubble compare to those in the investment market. All anybody ask for in the regulated world is a level playing field.

  5. Surely the FSA aren’t that nieve to just accept the declaration by someone that they do not have a criminal record, why do they not check everyone that applies to be registered before they are granted a licence? Can you imagine the uproar if individuals applying for other professions weren’t police checked e.g. teachers and indeed the police themselves. Call themselves a governing body, they should be extremely embarrassed over this, but heh it’s not a problem, if there is an issue and someone needs financial compensation, they can just up the fees of the rest of the law abiding industry!

  6. Focusing on small fry like these 2 dumb chumps wont make any impact to the economy.

    FSA need to ban Directors of the Banks and traders that caused these global collapse.

    Sir Fred Goodwin should be first on the list – hes sitting pretty, retired at 50 on a £500k plus pension and millions spent on entertainment for him and his family – and hes scott free now watching the news and thinking thank god I got out when I did.

  7. whilst these people should be banned form our industry I do agree with a lot of the comments by other readers as for the FSA they are no use no ornament and should be closed for good as they have done nothing for our industry but make a farse of it, also FSA should stand for Fools Stand Aside.

  8. You don’t need a crooked mortgage broker you just get Lord Mandlescum’s to complete your income details on your mortgage application!!!!

  9. Well done the FSA!

    I know I’ll sleep easier tonight knowing you’re looking after us all.

  10. …I know this is not politically correct…but the culprits are from a society where bending the rules is part of the culture…nevertheless this is all small beer in comparison with what really goes on…the fsa is a completly pointless organisation…it has as much relevance as AML..if the money is already in the bank…it is by definition clean…It is time to rise up and stop this nonsense!

  11. The FSA exists solely for its own benefit and has a vested interest in expanding to justify its ever higher fees and salaries. They think that these “headline” judgements impress us but in fact they do not. The big boys do what they like and always will, after all the top brass at the FSA will want to move on one day so- well work it out for yourself ! The FSA consists of useless self serving pen- pushers.

  12. The FSA are a joke. What do they actually do? I have worked in financial services for 23 years and am completely disollusioned with their function/purpose. The banks have got away with murder, and we are still having to bail them out, Network Data were allowed to trade for over a year before they finally went to the wall costing hundreds of brokers £000’s whilst the FSA new exactly what was going on. What a complete waste of tax payers money!!

  13. What unusal names

  14. Sorry, I meant UNUSUAL names. I think my e mail this morning hit the nail on the head, but was not published.

  15. We should welcome good news like this. Now they both have a criminal record. ! I wonder what firm they have just successfully joined. !

    The FSA do a great job, considering the difficulties they face.


    (ex IFA)

  16. I see the FSA are on the ball again, only took them two years to do their criminal records checks and ban this company. They better get a move on as they may not be here long (fingers crossed) after the next election.

    By the way, can anyone tell me one average person on the street has benefited from the work of the FSA ?

  17. Welsh brokers again – always seems to be the Thomases and Williams’ and Jones’ and Davies’ that get banned. Its not fair

  18. I feel embarressed when I tell clients I’m regulated by the FSA, Everyone knows they will be gone soon.

  19. The FSA didn’t check the form as a matter of course before granting permissions?

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