Tribunal upholds FCA decision to fine bank and two employees over plan to harm Qatari economy

The Upper Tribunal has upheld the FCA's decision that Rangecourt SA (formerly Banque Havilland), its former CEO Edmund Rowland, and former Bank employee Vladimir Bolelyy, acted without integrity.

In 2023, the FCA proposed to fine Banque Havilland £10m, however the Tribunal has now determined that the fine should be £4m. Banque Havilland changed its name shortly before the Tribunal hearing began and is now known as Rangecourt SA.

The regulator's investigation found that Banque Havilland created a plan (initially titled ‘Setting fire to the neighbour’s house fund’) to harm the Qatari Riyal through manipulative trading strategies. The aim was to devalue the Qatari currency and break its peg to the US Dollar, harming the economy of Qatar. Banque Havilland intended to present this manipulative trading strategy to a sovereign wealth fund, Mubadala Investment Company.

The FCA says Rowland and Bolelyy were instrumental in this deliberate misconduct, stating that Rowland was trying to impress Mubadala in the hope of securing future financial benefit for Banque Havilland and his family. In making its findings the Tribunal held that Rowland lied to both the FCA and in court and also persuaded Bolelyy to lie.

The Tribunal agreed with the FCA that significant fines should be imposed, deciding that fines of £4m, £352,000 and £14,200 were appropriate for Rangecourt SA, Rowland and Bolelyy respectively. The Tribunal also upheld the FCA’s decision to ban Rowland and Bolelyy from working in financial services.

The FCA also decided to fine a third employee, David Weller, £54,000 for his role in the misconduct and he did not refer that decision to the Tribunal.

Steve Smart, executive director of enforcement and market oversight at the FCA, said: “Motivated by greed, Banque Havilland, Mr Rowland and Mr Bolelyy had a plan to seriously damage the Qatari economy. It is right that they have been held to account.”