Bankers, don't dodge train fares on your commute. It could get you barred from the industry.
Joseph Molloy, a former HSBC executive, used a method called "donutting" to avoid almost $8,000 of train fares.
A former HSBC executive, Joseph Molloy, has been barred from UK financial services following a train fare fraud conviction. The Financial Conduct Authority (FCA) declared that Molloy's actions demonstrated a lack of honesty and integrity, preventing him from engaging in regulated financial services work. Molloy, 53, was the head of passive equity at HSBC Asset Management until his retirement.
In an attempt to avoid approximately £5,911 ($7,900) in fares, Molloy employed a ticketing strategy known as "donutting." This method involved purchasing tickets for short journeys at either end of his commute while leaving a gap in the middle, unpaid. Over 11 months, Molloy committed this fraud 740 times using false names and addresses to obtain multiple travel cards and claim a travel discount intended for unemployed job seekers.
He was sentenced to 10 months in prison, suspended for 18 months, barred from railway services for a year, and ordered to complete 80 hours of unpaid work and pay £5,000 in compensation. The FCA has issued a lifetime ban on Molloy from the industry, citing his conviction as evidence of a clear and serious lack of honesty and integrity.
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