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Silence isn’t golden

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It’s the failure to co-operate that does the most damage, writes Jessica Caws—so if in doubt, notify
  • Covers FCA Handbook rules on failure to disclose, and asserts that it is always best to be open and co-operative with the financial regulator.
  • Highlights key points raised by the case of Carlos Fuenmayor, who was fined by the FCA in June 2026.
  • References past examples where failure to disclose exacerbated the initial issue.

The Financial Conduct Authority’s (FCA’s) June 2026 fine of close to £100,000 imposed on Carlos Fuenmayor, chief executive of BancTrust, emphasises a point that we, as regulatory lawyers, return to time and again; we consistently advise our clients to be open and co-operative with the regulator. Indeed, in enforcement matters it is often the failure to disclose that proves more damaging than the underlying rule breach itself.

In this most recent matter, Fuenmayor failed to notify the FCA of three significant issues: that he had been placed under investigation by the US Financial Industry Regulatory Authority

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