FCA seeks injunction against Neil Woodford for ‘operating without authorisation’

The Financial Conduct Authority (FCA) has started civil proceedings against Neil Woodford and his latest venture W4.0 for “operating without authorisation”.

The regulator is seeking an injunction against Woodford over claims he is breaching the terms of a ban following the collapse of his Woodford Equity Income fund in 2019.

W4.0 is registered in the United Arab Emirates (UAE) and offers a subscription-based platform that provides access to investment strategy ideas.

On its website, W4.0 states that it “exists to explain active investment strategies” and that it is not regulated by the FCA or any regulatory body, and that it does not provide financial advice.

However, the FCA has alleged that Woodford and W4.0 are provided regulated investment advice and making financial promotions through the platform without authorisation.

“In the FCA’s view, the activity breaches sections 19 and 21 of the Financial Services and Markets Act 2000 (FSMA),” the regulator stated.

“The FCA is seeking an injunction against Mr Woodford and W4.0 to stop them carrying on the potentially unlawful activities.”

Woodford and Woodford Investment Management were fined a total of £45.9m last year for failures in their management of the Woodford Equity Income Fund.

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