FCA stamps down on internet traders

THE number of dawn raids carried out by the City watchdog has risen to its highest level since the banking crisis.

Investigators at the Financial Conduct Authority (FCA) launched 25 raids in 2018, figures show. That compares with 13 the previous year, and is the highest annual total since 2010.

The rise is thought to be linked to the FCA’s crackdown on unregulated investments, with some firms accused of duping small shareholders, according to finance consultancy Fscom.

It follows the high-profile failure of investment firm London Capital & Finance, which went bust owing £237m to 11,500 people and is being probed by fraud investigators.

Jamie Cooke, managing director of Fscom, said: ‘The collapse of LCF has drawn a lot of attention to the issues around unregulated investments heavily marketed through the internet.’

The FCA declined to comment.