Markos Markou, director and chief executive of a mortgage broker firm, Financial Solutions (Euro) Limited (FSE), has been banned by the Financial Conduct Authority (FCA) for lack of oversight.

The FCA considers that Markou is not a fit and proper person and has withdrawn his approval to perform his current senior management functions, made an order prohibiting him from performing any functions in relation to any regulated activity and imposed a penalty of £25,000.

The FCA found that, between 2015 and 2017, Markou did not have appropriate oversight of FSE’s mortgage business. Markou also failed to take sufficient steps to prevent FSE from transacting mortgage business between July 2017 and October 2017, during which period he was aware that FSE did not have valid professional indemnity insurance.

Following interventions by the FCA between 2011 and 2015, Markou was fully aware of the serious risks that this conduct created. By ignoring the risks, the FCA believes that Markou acted recklessly and demonstrated a lack of integrity. Markou’s conduct placed FSE at risk of being used as a vehicle for financial crime and did not appropriately protect the interests of consumers.

Markou has referred the Decision Notice to the Upper Tribunal (the Tribunal) where he and the FCA will each present their cases. The Tribunal will then determine what, if any, is the appropriate action for the FCA to take, and will remit the matter to the FCA with such direction as the Tribunal considers appropriate for giving effect to its determination. The Tribunal’s decision will be made public on its website.

Accordingly, the action outlined in the Decision Notice is provisional and will have no effect pending the determination of the case by the Tribunal. At this stage, the facts and matters stated in the Decision Notice therefore reflect the FCA’s belief as to what occurred and how Markou’s behaviour is to be characterised.