Risk Notice

Regulatory warning: fundourselves.uk (Clone of FCA authorised firm)

Summary

The Financial Conduct Authority (FCA) has issued a warning regarding fundourselves.uk, a clone firm posing as an authorised FCA-regulated entity. The firm's details are being used by scammers to scam people, including sending emails from the same address and website as a genuine FCA-authorised firm. This is a common tactic used by fraudsters to trick individuals into dealing with unauthorised firms.

The cloned firm, Fund Ourselves Limited, is currently in administration and not carrying on any regulated activity. As such, customers of this firm will not have access to the Financial Ombudsman Service or protection under the Financial Services Compensation Scheme (FSCS) if things go wrong. The FCA advises individuals to only deal with financial firms that are authorised by them, using the FCA Firm Checker to verify a firm's authorisation and find contact details for legitimate firms.

Institutional buyers, traders, and exporters should exercise caution when dealing with counterparties that may be cloned firms. The lack of protection under FSCS can have significant consequences for businesses, highlighting the importance of conducting thorough due diligence on all trading partners before entering into agreements.

Why it matters

This clone firm's activities pose significant risks to cross-border trade and financial institutions, highlighting the importance of due diligence in assessing counterparty risk. By impersonating a legitimate FCA-authorised firm, fundourselves.uk is attempting to deceive individuals and businesses into entrusting them with sensitive financial information and funds. This tactic can have far-reaching consequences, including compromised access to essential dispute resolution mechanisms and limited recourse for potential victims.

Institutional buyers and sellers must exercise extreme caution when dealing with unauthorised firms, as they may not be subject to the same regulatory oversight and consumer protection frameworks as legitimate counterparties. The lack of authorisation also means that fundourselves.uk is unlikely to have adequate capital reserves or risk management systems in place, further increasing the likelihood of financial losses.

The FCA's warning serves as a stark reminder of the importance of verifying the authenticity of firms before engaging in business transactions. Financial institutions and traders must utilise reputable resources, such as the FCA Firm Checker, to verify the authorisation status of potential counterparties and protect themselves from potential scams.

Key points

* The Financial Conduct Authority (FCA) has issued a warning regarding fundourselves.uk, a clone firm posing as an authorised FCA-regulated entity. * This firm is not authorised by the FCA but has been contacting individuals and businesses in the UK, pretending to be a legitimate financial services provider. * The scammer's details include a name that matches an actual FCA-authorised firm, further adding to the deception. * The clone firm's address and email are also identical to those of the genuine firm, making it challenging for victims to distinguish between the two. * Fund Ourselves Limited is currently in administration and not carrying on any regulated activity, as per the FCA's website. * Institutional investors and financial institutions should exercise extreme caution when dealing with unauthorised or clone firms, as they may not have access to necessary protections and recourse mechanisms.

Institutional context

The Financial Conduct Authority's (FCA) warning list highlights the risks associated with dealing with unauthorised firms in the UK. The FCA is responsible for regulating and authorising financial services firms, ensuring that they operate in a fair and transparent manner. However, some individuals and firms may attempt to deceive consumers by impersonating authorised firms.

In this context, the FCA's warning list serves as an essential tool for professionals assessing counterparty and documentary risk in cross-border trade. By monitoring the FCA's warning list, businesses can identify potential risks associated with dealing with unauthorised firms, including the lack of access to dispute resolution services like the Financial Ombudsman Service. This highlights the importance of verifying a firm's authorisation status before engaging in any business transactions.

The FCA's regulatory framework also provides protection for consumers who have been tricked into making payments to scam accounts. The Payment Systems Regulator (PSR) has introduced protections for individuals who have sent money to scammers on or after 7 October 2024, providing a safety net for those affected by these types of scams. As such, it is essential for businesses to stay informed about the FCA's warning list and regulatory updates to mitigate potential risks associated with cross-border trade.

Practical considerations

To assess counterparty risk in cross-border trade, practitioners should verify the authenticity of any firm or individual they engage with by checking if it is authorised and registered with the Financial Conduct Authority (FCA) using their Firm Checker tool. This can help prevent dealing with clone firms that may be impersonating genuine entities.

When evaluating documentary risk, institutions should also check for signs of a firm's current status, such as being in administration or having been wound up. In this case, Fund Ourselves Limited is currently in administration and not carrying on any regulated activity, which means that practitioners may need to exercise caution when dealing with this entity.

Institutional due diligence teams should also consider the potential consequences of dealing with a clone firm, including lack of protection under the Financial Services Compensation Scheme (FSCS) and limited access to dispute resolution services such as the Financial Ombudsman Service. By taking these steps, practitioners can better mitigate the risks associated with cross-border trade and ensure compliance with regulatory requirements.

Source: FCA Warning List