The High Court has confirmed the appointment of special administrators for Euro Exchange Securities UK Limited (EES), following an earlier court decision that required the firm to cease trading with immediate effect last week. EES did not seek to overturn the initial decision and agreed that it is not in the company’s interests to attempt to return to normal trading.
Duncan Perring and James Bennett of Teneo Financial Advisory Limited have been appointed as joint special administrators under the Payment and Electronic Money Institution Insolvency Regulations 2021. Since their provisional appointment last week, they have taken control of the firm, secured a significant amount of material and frozen funds.
EES has stated it will work with the appointed special administrators to ensure that client money is returned as quickly as possible. The objective of the special administration is to manage the firm’s affairs in a way that prioritises the protection and return of client assets.
Regulatory action and concerns
This case is the first of its kind for the Financial Conduct Authority (FCA) under the current regulatory framework, and the FCA has indicated it will continue to use its powers to their fullest extent to protect consumers and the integrity of the markets. The FCA acted in partnership with other government bodies, including the Security Industry Authority, as part of joint strategies to disrupt financial crime.
On 4 June 2026, the FCA required EES to cease carrying out any regulated electronic money or payment services. On the FCA’s application, interim managers were appointed by the Court over EES on the same date. These measures followed serious concerns about how EES operated its business.
According to the regulator, there were significant risks of financial crime associated with EES, including systemic weaknesses in the firm’s financial crime framework and safeguarding arrangements, as well as issues related to its ownership and governance. These concerns underpinned the FCA’s decision to seek the appointment of interim managers and, subsequently, special administrators.
Implications for clients and markets
The confirmation of special administrators marks a further step in the regulatory response to the identified risks at EES. With control of the firm now in the hands of the joint special administrators, the focus is on securing and returning client money and managing the wind-down of the firm’s regulated activities.
The FCA has highlighted that this action demonstrates its willingness to intervene decisively where it identifies serious financial crime risks and weaknesses in firms’ control frameworks. The coordinated approach with other government partners is intended to support broader strategies to disrupt financial crime and uphold market integrity.
