Vida Financial Services Limited, Jonathan James Wilson (2019-04-01)

Summary

This is a public enforcement statement issued by the Guernsey Financial Services Commission (GFSC) against Vida Financial Services Limited (Vida) and its managing director/controller Jonathan James Wilson. It records financial penalties, prohibition orders and a public statement imposed after an investigation found serious failings in Vida's governance, record-keeping, conflicts-of-interest management and investment management activities, and corresponding fitness and propriety failings by Mr Wilson.

• Financial penalties: A GBP 30,000 penalty was imposed on Vida and a GBP 20,000 penalty on Mr Wilson under section 11D of the Financial Services Commission Law.
• Prohibition orders: Mr Wilson was prohibited from acting as director, controller, partner or manager of any regulated entity under the POI Law, IMII Law, Insurance Law, Banking Law and Fiduciaries Law; these orders were later varied to expire on 30 September 2021.
• Public statement: The Commission issued a public statement under section 11C of the Financial Services Commission Law, later revoked and replaced by this restated statement following a Court of Appeal ruling on time-limited prohibitions.
• Findings against Vida: Poor record-keeping and board minutes, failure to maintain adequate accounting records, breach of the two-director requirement, unnotified change of control, inadequate reporting and oversight of fund cells, unmanaged conflicts of interest, and insufficient due diligence and due-diligence reliance controls (introducer/CDD failures) in relation to AIF fractional-ownership schemes.
• Findings against Mr Wilson: Lack of competence, diligence and understanding of legal and professional obligations; failure to manage conflicts of interest; failure to ensure proper board governance, minute-taking and management accounts; and acting as sole director without disclosing an ongoing Commission investigation to newly appointed directors.

This is a case-specific enforcement notice concerning named parties rather than a rule of general application; it does not create new ongoing obligations for other licensees, though it illustrates the Commission's expectations under the Minimum Criteria for Licensing, the Licensee (Conduct of Business) Rules and the AML/CFT Handbook.

Applies to

investment business licensees under the POI Law, fund/investment managers, fiduciary licensees, insurance intermediaries, directors and controllers of regulated entities

Deadlines

• 30 September 2021: Expiry date of the varied Prohibition Orders against Jonathan James Wilson