Love Island and Towie stars charged with promoting risky investments

The financial watchdog has charged several reality TV stars over allegations they were paid to promote risky financial investments to their millions of social media followers.

Lauren Goodger of the show The Only Way is Essex, Biggs Chris of Love Island and Scott Tinlin of Geordie Shore are among those accused by the Financial Conduct Authority (FCA).

The FCA charged an individual named Emmanuel Nwanze with running an unauthorised investment scheme and issuing unauthorised financial promotions.

The regulator claims that between May 2018 and April 2021, Mr Nwanze and Holly Thompson used an Instagram account to provide advice on buying and selling derivaties known as contracts for difference (CFDs), which they were not authorised to do so.

CFDs are a high-risk investment product used to bet on the price of an asset, specifically in this case the price of foreign currencies.

All the defendants, together with Yazmin Oukhellou of The Only Way is Essex, Rebecca Gormley, Jamie Clayton and Eva Zapico of Love Island, and Scott Timlin of Geordie Shore, are to appear before Westminster magistrates next month.

The combined following of the Instagram accounts of these individuals was 4.5 million, the FCA said.

Communicating unauthorised financial promotions is an offence under the Financial Services and Markets Act 2000. People found guilty face up to two years’ jail or a fine.

The regulator has issued guidance to both companies and so-called “finfluencers” [financial influencers] about using social media to promote financial products. The guidance was issued to address what it called “emerging consumer harm that we’ve seen arising from use of social media”.

The FCA said anyone who believes they have suffered financial loss in relation to this matter to contact its consumer contact centre on 0800 111 6768.