FCA: A sentence of 10 years imprisonment imposed on individual for a “giant Ponzi scheme”
The Court of Appeal has upheld a sentence of 10 years imprisonment imposed on Phillip Harold Boakes following his conviction on 6 March 2015 on charges prosecuted by the Financial Conduct Authority (FCA).
Mr Boakes was appealing his sentence having pleaded guilty to three counts of using a forged instrument and two counts of fraudulent trading and one count of accepting deposits without authorisation.
In dismissing his appeal, Lord Justice Jackson, sitting with Mr Justice Coulson and the Recorder of Leeds, stated that Mr Boakes had embarked on a “giant Ponzi scheme” involving very vulnerable victims. Describing the offences as “extremely unpleasant” and a “gross breach of trust”, Lord Justice Jackson noted that Mr Boakes had led an extravagant lifestyle. In upholding the sentence, the Court considered that a number of the victims had suffered “life changing loss” and as a result 10 years’ imprisonment was “not a day too long”.
In addition to his convictions, the FCA has also taken confiscation proceedings against Mr Boakes and a Confiscation Order for the sum of £165,731 has been made. The FCA has also banned Mr Boakes from performing any function related to any regulated activity.
Mark Steward, director of enforcement and market oversight at the FCA said:
‘Mr Boakes’ crimes involved serious dishonesty and caused real harm to many innocent investors who are entitled to feel vindicated by the decision of the Court of Appeal and the confiscation of his assets which can be used to compensate his victims.’
If Mr Boakes doesn’t pay the confiscation order on time, he is liable to spend a further two years in jail.
Source: FCA
