Search
Generic filters
Exact matches only
Filter by Custom Post Type
Data, Dispute Resolution

Regulatory cooperation and information sharing

News that a former director has been banned by the Insolvency Service from acting for a period of four years is a timely reminder that regulators working together can draw from a pool of sanctions to penalise offending individuals.

Keith Nicholas Hancock, of Manchester, was sole director of “Lad Media Limited”, a lead generation and data brokerage business operating in the financial services, debt management and consumer claims sector. In January 2017 it was served with a Monetary Penalty Notice of £50,000 (subsequently reduced to £20,000 on appeal) by the Information Commissioner’s Office (ICO), for serious contraventions of the Privacy and Electronic Communications Regulations (the laws governing the sending of SMS, email and other electronic marketing) arising from the sending of more than 393,000 unsolicited SMS messages.

Lad Media failed to pay the debt, however, and the company was shut down in 2018 as a result of a winding up order issued on the petition of the ICO.

The ICO and the Insolvency Service do not have a formal memorandum of understanding, although this firm has been told by the IC that a formal sharing arrangement is likely to exist in the future. They also do not have express statutory obligations to share information between them. However, the ICO made a referral to the Insolvency Service, and – following further investigations – Hancock has been banned for four years from directly or indirectly becoming involved, without the permission of the court, in the formation or management of a company.

Miscreant directors should certainly fear this coming together of regulators, but, more than that, anyone subject to investigation by the ICO should be aware that information can be – and increasingly is – shared, and that regulators exercising their powers in concert can sometimes prove more than the sum of their parts.

We have experience of and expertise in assisting clients with all kinds of regulatory and compliance investigations. For further information please contact us through the normal channels, or through our 24-hour emergency hotline.

Shaper: Jon Bradford

Jon Bradford, a highly experienced early stage investor, is the Founding Partner of Motive Partners, a financial technology investment company.   Founder and Co-Founder of many other businesses including Dynamo Ventures, an early stage seed investor focused on Supply Chain and Mobility, Jon is well-accredited with the title “Godfather of European Accelerators” for founding Ignite100 Accelerator [...]

Read More...

Jazz Shapers - 4 days ago

Shaper: Tamara Littleton

Tamara Littleton is Founder and CEO of The Social Element, a social media agency advising some of the world’s biggest brands on how to use social media to solve business challenges. Having left her role running a BBC web team, Tamara founded The Social Element in 2002 before the explosion of social media with the [...]

Read More...

Jazz Shapers - 2 weeks ago