‘You decided to evade them’: Former HSBC banker ‘clearly in a financial position to pay’ banned from finance for dodging $7,800 in fares

Britain’s financial regulator has banned a former HSBC banker from the industry over a train-fare fraud that cost a railway operator £5,911, or about $7,800.

The Financial Conduct Authority (FCA) barred Joseph Molloy from performing “any function in relation to any regulated activity carried on by an authorized person, exempt person or exempt professional firm,” according to a final notice dated Oct.

1.

Between October 2023 and September 2024, the notice says Molloy set up two accounts with SE Trains Limited, the operator known as Southeastern, using false names, addresses, and email accounts.

He used them to acquire travel cards.

He engaged in a practice called “donutting” in which he would pay for two short trips at the ends (his home and his work) and then a hole in the middle.

On each trip, he paid for a short journey at the start and another at the end, and evaded the fare for the section in between.

He did this on at least 740 journeys.

In January of this year, Molloy pleaded guilty at Inner London Crown Court to fraud by false representation of the Fraud Act 2006.

On Feb.

17, he was sentenced to 10 months in prison, which was suspended for 18 months.

The court also barred him from the train operator for 12 months, ordered 80 hours of unpaid work and 10 rehabilitation activity days, and ordered him to pay £5,000 in compensation to Southeastern, £150 in costs and a £187 victim surcharge.

At sentencing, the judge called it “a sophisticated and determined fraud,” according to the notice.

The judge said that although Molloy was “clearly in a financial position to pay the fares, you decided to evade them and that causes a loss to the whole of society.” “In my judgement, this is a high culpability,” the judge said.