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FCA: Greensill hasn’t found any cheating yet

FCA CEO Nikhil Rathi told the Treasury Special Committee that the investigation into Greensill Capital has so far found no fraud.

He told lawmakers that the investigation was complicated by the involvement of various entities across multiple jurisdictions.

Further research is being conducted in other countries such as Germany and Australia.

Mr Rathi said he could not provide an accurate schedule for drawing conclusions for the investigation.

“We will keep pace with our international colleagues as quickly as possible and as much as possible,” he said.

The FCA’s boss said the problem with Greensil’s regulation was that commercial lending between large wholesalers was outside the scope of regulation.

“In the context of money laundering, which is a registration system rather than an approval system, it has a regulatory implication. There is room to further enhance the information we are collecting about what these activities are and how they are done, “he added.

When MP Felicity Buchan asked what lessons to learn from Greensill, Rathi said that information and notification requirements could be lacking.

He pointed out that companies do not need to report money laundering regulations to the FCA.

As a result, Rathi said this should be considered in the context of future regulatory frameworks.

“At least I think we need to know what’s happening in these areas that aren’t officially regulated,” he said.

He also added that there is a need for more international cooperation with foreign regulators.

MP launched a survey of Green Sill Capital in April, One of the world’s largest providers of supply chain finance, which collapsed in March 2021.

Formally referred to as “Lessons from Greensil Capital,” this study focuses on the regulatory lessons that result from its failure.



FCA: Greensill hasn’t found any cheating yet

Source link FCA: Greensill hasn’t found any cheating yet

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