The Financial Conduct Authority has banned a former mortgage brokerage Director after making illegitimate transfers totalling £1m.

Kevin Allen, (FCA no. KXA01208), was sole shareholder of NMB, a mortgage intermediary, based in Warwick Road, Solihull.

However the regulator found Mr Allen was also holding controlling functions at another firm offering equity mortgage products, New Life based in the same building.

Mr Allen made illegitimate transfers totalling £1m from New Life to NMB without the knowledge of the other New Life directors while also fabricating an exchange of emails between himself and another director.

These emails claimed to authorise one of the transactions and falsified a bank statement in order to misled New Life’s auditors.

Georgina Philippou, Acting Director of Enforcement and Market Oversight said Mr Allen failed to act with honesty and integrity.  

“He stole money in order to prop up his failing business and then lied in order to cover up his deception,” said Georgina.

“It is essential that those who hold important roles in financial services can be trusted and so we have banned Mr Allen."

The FCA would have fined Mr Allen £248,500 but he provided sufficient evidence showing that any penalty would cause him substantial financial hardship.