Stockbroker fined £250k for 'high-pressure' sales tactics

Square Mile Securities Limited was originally fined £1.5m but this was reduced due to the firm’s financial circumstances and agreement to settle at an early stage in the investigation. The FSA reviewed 55 transactions carried out by Square Mile between March and May 2006, some of which involved vulnerable or inexperienced investors. Square Mile was using a high pressure sales model that put customers at risk and did not carry out appropriate controls. Furthermore, the firm knew its advisers were using unacceptable sales tactics and even failed to get a customer’s consent before selling...