“The only thing necessary for the triumph of evil is for good men to do nothing.” — Edmund Burke
This week, the Financial Conduct Authority (FCA) handed Monzo a £21 million fine for systematic failures in its anti-money laundering (AML) controls. The neobank allegedly allowed customers to open accounts using blatantly fraudulent addresses—including Buckingham Palace and 10 Downing Street. The FCA described Monzo’s compliance regime as “completely inadequate,” highlighting 34,000 high-risk accounts opened in defiance of regulatory orders.
Yet while Monzo is publicly held to account for its failings, a more entrenched and alarming AML scandal continues to fester unchallenged—across the Irish Sea in the Isle of Man.
The Isle of Man: A Haven for Dirty Money?
For more than three years, detailed disclosures have been submitted to Isle of Man authorities, including the Economic Crime Unit (ECU) and the Financial Services Authority (FSA), highlighting widespread financial wrongdoing involving:
- Offshore pension fraud through undisclosed commissions and false adviser locations.
- Shell companies like OIIA Ltd channeling illicit payments.
- Unauthorised financial advice triggering predicate offences under Proceeds of Crime legislation.
- A Barclays IoM account allegedly used as a laundering conduit for fraudulent commissions paid by regulated insurers including FPI, RL360, and Utmost.
These disclosures were shared not once, but repeatedly—with law enforcement, regulators, and even the Office of the Chief Minister. Yet instead of meaningful action, victims have faced silence, deflection, and institutional paralysis.
So Why the Double Standard?
Monzo’s case is high-profile, yes—but far less structurally embedded than the Isle of Man scandal, where:
- MLROs and regulators were repeatedly put on notice.
- Authorities appear to have ignored reasonable suspicions, potentially breaching FATF expectations.
- Victims were gaslit, told the matter had “been reviewed,” despite no proper investigation into banking trails, commission flows, or shell entity use.
If Monzo deserves a £21 million fine for onboarding implausible addresses, what of the Isle of Man, where not only were fraudulent advisers handed Terms of Business by insurers, but commissions were paid into unregulated offshore entities—after red flags had been raised?
Institutional Failure—or Something Worse?
It’s difficult to avoid the uncomfortable question: is this wilful blindness or systemic complicity?
The FCA says Monzo “failed to design, implement and maintain adequate controls.” But how much worse is it to be told, explicitly and repeatedly, that your controls are failing—and do nothing?
If a small digital bank is held to account, why not a government? Why not a regulator? Why not an entire financial ecosystem in a Crown Dependency?
Time for Accountability
This is not just about redress for the victims of offshore pension fraud. It’s about restoring public trust in the rule of law and financial transparency. It’s about closing the gap between the appearance of regulation and its actual application.
We call on:
- The UK Government to investigate whether its Crown Dependency obligations under FATF have been breached.
- FATF and Moneyval to scrutinise the Isle of Man in its upcoming mutual evaluation.
- The press to ask why private banks get fined but public institutions evade accountability.
Because AML isn’t just about ticking boxes. It’s about acting on red flags. It’s about protecting people, not power.
And in this case, the silence from the Isle of Man speaks volumes.
About Get SAFE
Get SAFE (Support After Financial Exploitation) was born from a simple truth: too many victims of financial abuse are left to suffer in silence.
We exist in memory of Ian Davis—for the ones who did everything right, only to be failed by the systems they trusted. We know that behind every vanished pension, every ignored complaint, and every stonewalled letter is a person—frightened, exhausted, and too often alone.
Get SAFE offers more than sympathy. We offer structure, support, and solidarity.
We provide a voice where there’s been silence, and clarity where there’s been confusion.
We stand beside those who have been exploited, not just to help them recover—but to help them reclaim their story and rebuild their future.
Because financial justice is not a luxury.
It’s a human right.
If you or someone you know has been affected by financial exploitation, we are here.
You are not alone.
Academy of Life Planning 