R. Raphael & Sons plc (Raphaels) has received fines
totalling £1,887,252 from the FCA and PRA for repeated
failings in relation to inadequate systems and controls
supporting the oversight and governance of its outsourcing
arrangements.
Raphaels outsourced certain functions that supported payment
services for its prepaid and charge card programmes in the UK and
Europe to a service provider. These functions included the
authorisation and processing of transactions made by users on these
cards and management of the card programme (Card
Services). From 2016, Raphaels had 5.3 million prepaid cards
in issue in the UK and other European countries with average
monthly transaction volumes of over £450 million.
