UT/2023/000092 - [2024] UKUT 00035 (TCC)

Nvayo had four safeguarding accounts. After telling the relevant banks of Mr Scanlon’s arrest, three were closed and the final one placed under review on 18 July 2023. On 28 December 2023 that last bank (“the Bank”) notified Nvayo that it would close Nvayo’s account on 90 days’ notice.

In its notification of withdrawal of services form to the Authority (exhibited to Mr Ohm’s statement and dated 29 December 2023) the Bank explains that Nvayo’s earlier responses of 15 August 2023 and 22 December 2023 were not sufficient to alleviate the bank’s concerns and that the bank had decided to “exit” the customer. The notification of withdrawal stated:

“In particular, UBO has not been changed, criminal proceedings and restrictions of activity are still on-going and a EU license is not currently in Nvayo’s medium-term plans to operate in Europe.”

By way of background, the last point referred to (lack of EU license) is not a matter which is pursued in the Supervisory Notices but relates to a concern on the part of the Bank in relation to “provision of the regulated services to EU domiciled customers” through Nvayo’s reliance on “reverse solicitation for its business as usual”. Nvayo dispute this issue is a concern.