The Finance Conduct Authority (FCA) announced that it imposed a £120,300 fine and FCA ban on James Lewis, the former CEO of Shard Capital Partners, on Tuesday, 7 May 2024.
FCA Fines and Bans Former Shard Capital CEO
Lewis is the founder and ex-managing partner of Shard Capital, a wealth and asset manager. He was at the helm of this brokerage from 2010 to January 2022, according to the Financial Times (FT). The financial watchdog found that Lewis provided inaccurate information on two occasions regarding clients’ cash held by Shard.
The former Shard Capital CEO reportedly informed auditors between June 2015 and May 2017 that “Shard held hundreds of millions in cash for a particular client”, but it came to light these referenced sums were, in fact, debts owed by “another client in the same group”. According to the FCA, Lewis’s misconduct risked the financial well-being of investors and the market.
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Lewis also misled another client by claiming Shard held substantial amounts on its behalf. It was revealed that the client’s total cash balance was transferred out of the relevant account. The FCA claimed Lewis knew these misrepresentations would inform the formulation of annual client accounts. Steve Smart, the FCA’s joint executive director of enforcement and market oversight, commented:
Mr Lewis fell woefully short of the high standards of skill, care and integrity we expect of all those who lead financial firms. Investors depend on accurate information, and Mr Lewis’ actions put investors at significant risk of losses. It is right that he won’t be allowed to work in regulated financial services again.
