‘Allow me to do my job’: How phony adviser invested pensions worth £24m

Smartphone-Mobile-Phone-700.jpgA man posing as an adviser who was today banned by the FCA assured a client he was “exceptionally proud of his track record” when convincing them to invest in an unregulated collective investment scheme.

The FCA today banned PCD Wealth and Pensions Management employees Patrick Gray and Mark Kelly for lack of integrity after they invested nearly £24m of customers’ pension funds in unsuitable investments.

Gray’s final notice details how he convinced one client to transfer their pension fund to a Sipp and then invest in two Ucis funds.

In an email to the client, he said: “I must stress that this part of your pension planning may seem a little daunting. However, it is all part of our service to you. I am exceptionally proud of my track record in this area and, as a result, urge you to allow me to do my job and lead in this area.

Gray, who had no financial advice qualifications or training, later said in an interview with the FCA that he had never heard of Ucis despite telling the client he was proud of his track record. The FCA said Gray was reckless to the risk that his recommendations were unsuitable.

The total commission paid to PCD between 2008 and 2010 was £3.1m.

Kelly arranged for more than £1.04m to be paid to himself and a member of his family while Gray personally received a total of £232,000.