UK Regulator Probes Collapsed MFS Over £1.3bn Mortgage Fraud Allegations

The Financial Conduct Authority has opened an investigation into Market Financial Solutions after its collapse amid claims of £1.3 billion in fraudulent mortgage lending. The FCA and law enforcement in London and Dubai coordinated to impose a global asset freeze on founder Paresh Raja to prevent dissipation of suspected missing funds. This probe signals deeper scrutiny of private credit firms, with future legal and regulatory steps pending based on the investigation's findings.