By Rory Gallivan
LONDON--The U.K.'s Financial Conduct Authority said Wednesday it
has fined the U.K. arm of the Spain's Banco Santander S. (SAN.MC)
12.38 million pounds ($20.44 million) over failings in the way it
offered financial advice.
"There was a significant risk of Santander U.K. giving
unsuitable advice to its customers, its approach to considering
investors' risk appetites was inadequate, and for some people it
failed to regularly check that investments continued to meet their
needs," the FCA said.
In agreement with the FCA, Santander will now contact all
affected customers and, for any sales that were sub-standard,
redress will be paid where due.
The FSA said that when first put its concerns to Santander U.K.
in late 2012, the bank immediately decided to stop giving financial
advice in branches to prevent further problems occurring.
Santander U.K. agreed to settle at an early stage of the
investigation so its fine was reduced by 30%, the FCA added.
-Write to Rory Gallivan at rory.gallivan@wsj.com; Twitter:
@RoryGallivan
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