The Financial Services Authority has banned Birmingham mortgage broker Mohammed Hanif for obtaining authorisation by giving the regulator false information to conceal his involvement in the running of the business.
The authorisation application stated that Hanif’s daughter-in-law, Zaneb Sarfraz, had the required competence, capability and business experience as an authorised person to be involved in the management and control of Pak Property Centre, when in fact she has no knowledge of the financial services industry.
Sarfraz was not aware of the purpose of the authorisation application submitted in her name, and she had very little involvement in the running of the business, with Hanif actually running Pak Property Centre.
In addition to the false information, Hanif and Anmbur Saddiq, the only mortgage adviser at the firm, submitted a mortgage application for Mrs Sarfraz based on false information about her earnings from the business. Saddiq also made false mortgage applications for himself and for a family member. Saddiq has also been banned by the FSA.
The permission of Zaneb Sarfraz trading as Pak Property Centre has also been cancelled.
FSA director of enforcement and financial crime Margaret Cole says: “Maintaining the integrity of the authorisation process is essential if we are to keep dishonest people out of the regulated financial services industry.
“This was a deliberate act of deception and exploitation by Hanif. He deceived the FSA by presenting sham governance arrangements during the authorisation process. In doing this seemingly he had no regard for the impact on the reputation of Mrs Sarfraz. This misconduct, which is very serious in itself, is compounded by the fact that he went on to use the authorised business to commit mortgage fraud.”