Several stars from your favourite shows have been charged with the unauthorised plugging of investments on social media.
Love Island stars Rebecca Gormley and Eva Zapico and Towie’s Lauren Goodger are among several reality stars to have been charged in relation to promoting a financial trading scheme to their Instagram followers.
The charges were brought by the Financial Conduct Authority (FCA) against nine people. The other TV stars involved were Love Island’s Biggs Chris and Jamie Clayton, Geordie Shore’s Scott Timlin and Yazmin Oukhellou from TOWIE.
The celebs are all due in court in June over the charges and, if convicted, they could face up to two years in jail.
(Image: Dave Benett/Getty Images)
The FCA has alleged that between May 19, 2018 and April 13, 2021, individuals named Emmanuel Nwanze and Holly Thompson used an Instagram account that gave advice on buying and selling investments called contracts for difference. However it is alleged this was done without permission.
According to the FCA, contracts for difference “are a high-risk investment product used to bet on the price of an asset, in this case the price of foreign currencies”.
(Image: Instagram)
The watchdog alleges that Nwanze paid the seven reality TV stars to plug the account – which was called @holly_fxtrends – on their own Instagram accounts, where they have millions of followers between them.
All nine people involved have now been charged with unauthorised communications of financial promotions. Nwanze also faces one count of breaching the General Prohibition under Section 19 of the Financial Services and Markets Act 2000.
The FCA has previously said that 80% of customers lose money when investing in contracts for difference because of the risks. On its site it said they are “often highly leveraged, which means they use debt to try and amplify returns, which can result in investors losing more than they invested”.
(Image: @BiggsChrisx/Twitter)
The stars charged in the case are set to appear before Westminster Magistrates Court on June 13.
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Source: Celebrities - dailystar.co.uk
