The UK’s Financial Conduct Authority (FCA) has laid charges against nine people in connection with an unauthorized forex trading scheme promoted on social media.
Emmanuel Nwanze has been charged with operating an unauthorized investment scheme and issuing unauthorized financial promotions.
The FCA alleges that, between 19 May 2018 and 13 April 2021, Mr Nwanze and Holly Thompson used an Instagram account (@holly_fxtrends) to provide advice on buying and selling contracts for difference (CFDs) when they were not authorized to do it.
The FCA also alleges that Mr Nwanze paid Biggs Chris, Jamie Clayton, Lauren Goodger, Rebecca Gormley, Yazmin Oukhellou, Scott Timlin and Eva Zapico to promote the @holly_fxtrends Instagram account to their millions of Instagram followers.
Ms Thompson, Mr Chris, Mr Clayton, Ms Goodger, Ms Gormley, Ms Oukhellou, Mr Timlin and Ms Zapico each face one count of making unauthorized financial promotional communications.
The defendants will appear before Westminster Magistrates’ Court on June 13, 2024.
Anyone who believes they have suffered loss in relation to this matter is encouraged to contact the FCA’s consumer contact center on 0800 111 6768 (freephone).
Mr Nwanze faces one count of breaching the General Prohibition under Section 19 of the Financial Services and Markets Act 2000 and one count of unauthorized communication of financial promotions under Section 21 of the Financial Services and Markets Act.
Ms Thompson, Mr Chris, Mr Clayton, Ms Goodger, Ms Gormley, Ms Oukhellou, Mr Timlin and Ms Zapico each face one count of unauthorized financial promotion communications under Section 21 of the Act on Financial Services and Markets 2000.
Breaching the General Prohibition is an offense under Sections 19 and 23 of the Financial Services and Markets Act 2000 which is punishable on conviction by a fine and/or imprisonment for up to 2 years.
Communicating unauthorized financial promotions is an offense under Sections 21 and 25 of the Financial Services and Markets Act 2000 which is punishable on conviction by a fine and/or imprisonment for up to 2 years.