The Financial Services Authority (FSA) has imposed a ban against Paul Cable, director of Media and Entertainment Insurance Services Ltd., and even canceled the firm’s permission to undertake any regulated activity.
Cable, the firm’s only FSA approved person, arranged two insurance contracts for a client in relation to a business that was outside of his usual area of expertise. The firm arranges insurance for the entertainment industry, including advertising and television commercials. Cable, in his arrangements, inflated the costs of insurance premiums and falsified two documents in his attempt to overcharge the client by ₤89,000. The client knew of the true cost after making separate enquiries.
For his completely unacceptable behavior, FSA banned Cable from acting as an FSA-approved person for at least two (2) years. Through this ban, FSA wants to emphasize the obligation of insurance brokers to provide at all times accurate information to their clients and to treat them fairly.