Banking Crisis

Regulator Bans Former BlackRock Executive From City After Massive Rail Fare-Dodging Saga

Mark Shapland Reporter London 16 December 2014

Regulator Bans Former BlackRock Executive From City After Massive Rail Fare-Dodging Saga

Fare dodger Jonathan Burrows has been struck off by the UK financial services watchdog for not "being fit and proper".

Fare dodger Jonathan Burrows has been struck off by the UK financial services watchdog for not "being fit and proper".

His ban from the City comes after the former BlackRock executive paid back £43,000 ($67,355) in dodged rail fares. He left his £1 million-a-year job as a managing director of BlackRock Asset Management Investor Services earlier in 2014 when the behaviour was uncovered.

His fare dodging took place over five years by boarding the London-bound train from Stonegate, a rural station with no barriers in East Sussex, without buying a ticket, before "tapping out" using an Oyster card at Cannon Street.

It meant he paid a £7.20 maximum Oyster fare rather than paying for a £21.50 train ticket for the one-hour 22-minute journey.

"Burrows held a senior position within the financial services industry. His actions fell short of the standards we expect. Approved persons must act with honesty and integrity at all times and, where they do not, we will take action." said Tracey McDermott, FCA director of enforcement and financial crime.

Burrows said he had always recognised that what he did was foolish.

"While I respect the FCA's decision today, I also regret it, coming as it did after a 20-year career in the City that was without blemish," Burrows said.

(Editor's note. While the behaviour here is wrong, it seems odd that the regulator should feel obliged to get involved in such a matter, given the far more serious issues that should be taking up its time. Would it be correct, for example, for the FCA to slap a life ban on a person from working in financial services for accumulating parking fines or some other sort of financial malfeasance? Maybe what the regulator objected to here is that this is a clear, and extensive, story of financial misconduct that is not compatible with holding a senior role in financial services where probity is required. It also, it should be noted, shows how expensive rail commuting in the UK now is.)

Register for WealthBriefing today

Gain access to regular and exclusive research on the global wealth management sector along with the opportunity to attend industry events such as exclusive invites to Breakfast Briefings and Summits in the major wealth management centres and industry leading awards programmes