FCA charges two IFAs with multiple fraud charges

The FCA has started criminal proceedings against Kerry Nelson and Jacqueline Stephens for alleged fraud, forgery, and money laundering.

Kerry Nelson was director of both Nexus Independent Financial Advisers (Nexus IFA) and Nexus Investment Managers (Nexus IM). Jacqueline Stephens was business operations manager at the same firms.

Nelson and Stephens have been charged with allegedly defrauding four clients between January 2019 and January 2023, who lost £2 million. They are also charged with using false documents in the process of committing the alleged fraud.

Nelson has also been charged with a further money laundering offence, after money was allegedly withdrawn from the firms. The FCA claims that the funds transferred from the accounts by Nelson were used to fund an extravagant lifestyle.

The pair appeared before Portsmouth Magistrates’ Court today. Nelson has pleaded not guilty to all offences and Stephens gave no indication of plea at this time. The matter was sent to Portsmouth Crown Court and their next appearance will be on 31st March 2025.

Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: “We allege that over a four-year period Ms Nelson and Ms Stephens took advantage of their clients’ trust, forged documents and diverted millions. It is right that these matters are scrutinised by the court.”