The Financial Conduct Authority (FCA) has launched an investigation into how it handled concerns raised by Simon Andriesz, a whistleblower who highlighted alleged ties between the late sex offender Jeffrey Epstein and the US commerce secretary, Howard Lutnick, after his death.
Andriesz, a British banker and former managing director at BGC Group, died late last month aged 57, the campaign group Transparency Task Force confirmed. He had accused the FCA of failing to hold his former employer to account for alleged wrongdoing and was wrongly told he did not qualify for whistleblower protection.
Whistleblower's concerns
Andriesz had spent years raising concerns about BGC, first regarding accounting irregularities internally in 2016, a year before he was sacked, and then in 2020-21 when he reportedly told the FBI that Lutnick had undeclared business ties with Epstein. Lutnick has since said he had no personal or professional relationship with Epstein.
Andriesz later unearthed an email chain in the Epstein files suggesting Lutnick and Epstein had discussed a startup business they were both involved in during 2018. Epstein died in jail in August 2019 while awaiting trial on sex trafficking charges.
FCA's response
Andriesz told the BBC's File on 4 Investigates that authorities in the US and UK had failed to hold BGC and its parent company, Cantor Fitzgerald, to account, or protect him from retaliation. He also accused the FCA of mistreating whistleblowers, citing the toll on his family, career and health.
The FCA had given Andriesz misleading information, saying he would not qualify for whistleblower protection because his identity had become known. The regulator apologised and said further guidance and training would be provided to its whistleblowing team.
An FCA spokesperson said: “We are very sorry to hear of Mr Andriesz’s death. Our thoughts are with his family and friends. Since expressing our condolences, we’d asked Lea Paterson, who has just joined our board as a non-executive director, to review how we interacted with Mr Andriesz to learn any lessons for the future.”
Calls for independent review
The all-party parliamentary group (APPG) on investment fraud and fairer financial services expressed concern that the FCA is being allowed to “mark its own homework” and called on the regulator to pay an independent party to “forensically and objectively evaluate its handling of whistleblowers”.
APPG chair John McDonnell said: “It is vital that this time a truly independent and non-conflicted organisation carries out the work needed. If the FCA refuses to respond positively, the APPG will consider all alternatives, including conducting its own call for evidence from whistleblowers who have interacted with the regulator.”
Lutnick has not been accused of any wrongdoing in relation to Epstein, and has previously said: “I unequivocally condemn the conduct attributed to Jeffrey Epstein and everyone who participated in his illegal activities. The survivors of his crimes deserve our respect and support.”
A BGC spokesperson said: “BGC has long disputed Mr Andriesz’s allegations but does not intend to relitigate these matters at this sad time. BGC is sorry to hear this tragic news and expresses our condolences to Mr Andriesz’s family.”
