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FCA cracks down on ‘directors for hire’

Regulator takes aim at false directors in latest authorisations blitz

The watchdog has made policing the 'gateway' into the City a key cog in its crime-fighting machine
The watchdog has made policing the 'gateway' into the City a key cog in its crime-fighting machine Photo: Alamy Stock Photo

The City watchdog is cracking down on part-time executives taking up senior roles, as strict new vetting continues to delay new business launches and mergers.

New firms that wish to operate in the financial services sector need the Financial Conduct Authority's approval, a process that includes scrutiny of ‘significant-influence functions’ — roles that include chief executives, executive directors, compliance officers, and money-laundering officers.

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