The Financial Conduct Authority (FCA) has launched criminal proceedings against three UK-based social media personalities—Charles Hunter, Kayan Kalipha, and Luke Desmaris—accused of illegally promoting high-risk financial products to retail investors.
The three so-called “finfluencers” appeared before Westminster Magistrates’ Court on 10 September 2025, each charged with one count of communicating an invitation to engage in investment activity, contrary to Section 21(1) of the Financial Services and Markets Act 2000. They all pleaded not guilty and have been scheduled to appear at Southwark Crown Court on 8 October 2025.
Allegations of Illegal Promotions
The FCA alleges that the individuals used their social media platforms to encourage followers to invest in foreign exchange (forex) trading through contracts for difference (CFDs)—complex leveraged derivatives that the regulator has long warned are unsuitable for most retail clients.
According to the FCA, the promotions were conducted without the necessary authorisation, exposing investors to significant financial risk. In fact, the FCA has previously highlighted that 80% of retail customers lose money when investing in CFDs due to their high-risk and leveraged nature, which can lead to losses greater than the initial investment.
Part of a Global Enforcement Drive
These charges form part of a coordinated international crackdown announced in June 2025, in which the FCA, alongside regulators in six countries, targeted illegal financial promotions by finfluencers. The operation resulted in:
- three arrests and the initiation of criminal proceedings (now confirmed to be against Hunter, Kalipha, and Desmaris),
- seven cease-and-desist letters,
- over 50 public warning alerts,
- interviews with four finfluencers, and
- more than 650 takedown requests to social media platforms and websites.
The FCA reiterated that while many finfluencers operate legitimately, others mislead followers by touting unauthorised financial products and portraying lavish lifestyles, often falsely, to promote success.
Wider Regulatory Context
This case highlights the growing regulatory focus on social media financial promotions. The FCA had already issued warnings in March 2024, reminding online promoters to “stay on the right side of the rules” when advertising investment products.
Internationally, regulators are following suit. For example, the UAE Securities and Commodities Authority (SCA) recently introduced a licensing requirement for individuals producing financial content online, covering those who provide investment advice, market commentary, or financial promotions via digital platforms.
How Our Law Firm Can Assist You
At Andria Papageorgiou Law Firm, we understand the increasing regulatory scrutiny on financial promotions and online marketing in the investment sector. We can support your business with:
- Monitoring & Risk Assessment – Ongoing review of your marketing and online content to ensure compliance with the applicable laws and reguations.
- Drafting & Reviewing Agreements – Tailored influencer/affiliate agreements that clearly define responsibilities, disclosure requirements, and liability, protecting both firms and promoters.
- Licensing & Authorisation Support – Guidance on whether your activities require a financial services licence or registration, and assistance with obtaining the necessary authorisations.
- Regulatory Compliance Advisory – Practical advice on how to align promotional strategies with applicable laws.
- Training for Staff & Affiliates – Bespoke training sessions to educate teams and collaborators on do’s and don’ts when marketing financial products.
By combining legal expertise with practical industry knowledge, we help firms and individuals reduce regulatory risk while continuing to grow their business responsibly.
Feel free to contact us for further professional assistance.
Disclaimer: The information contained in this article is provided for informational purposes only, and should not be construed as legal advice on any matter. Andria Papageorgiou Law Firm is not responsible for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this article and in no event shall be liable for any damages resulting from reliance on or use of this information.
