- Senior Managing Director
- Economic & Financial Consulting
- T: +44 20 3727 1291
- F: +44 20 3727 1007
- 200 Aldersgate
- Aldersgate Street
- London, EC1A 4HD
- United Kingdom
- T: +44 20 3727 1000
- F: +44 20 3727 1007
- B.Sc., (Hons,) Economics and Accounting, University of Bristol
- Chartered Accountant
- Fellow of the Institute of Chartered Accountants
- Expert Testimony
- Economic Consulting
- Financial Institutions
Stephen Kingsley is a Senior Managing Director at FTI Consulting based in London. Mr. Kingsley is in the Economic and Financial segment. Over a more than 40-year career, he has worked exclusively with clients in the financial services sector covering almost all areas of the financial services industry - retail corporate and investment banking; fund management; commodity trading and futures broking; investment funds; insurance broking; exchanges: and clearing and settlement agencies - both as an auditor and later as a consultant and as a non-executive director.
He has extensive experience of dealing with financial and regulatory reporting, governance, risk management and internal control issues within the sector. At Arthur Andersen, he acted as audit partner on various international banks, investment houses and commodity traders.
Since leaving Andersen in 2002, Mr. Kingsley has held senior positions in litigation support and economic consulting, management consultancy and in insurance broking.
He has also held several board positions, all of which required him to be approved by the relevant financial regulator. Mr. Kingsley joined the board of Britannia Building Society as a non-executive director and chairman-designate of the audit committee in October 2008. On 1st August 2009, the merger between Britannia and Cooperative Financial Services Group was finalized and he joined the boards of CFS and its various banking and insurance subsidiaries as a non-executive director. He also joined the group risk committee. This committee was tasked with the oversight, inter alia, of the asset/liability management, asset allocation, investment mandates and investment performance of CFS’ £20bn life fund. In March 2010, he was appointed chairman of the Bank Transformation Programme committee of the Board. He resigned from the board in June 2011 reflecting his concerns over the strategic direction of CFS.
In March 2012, he joined the board of Credit Suisse’s investment bank and its audit committee as a non-executive director. On 1st January 2013, he became chairman of the audit committee and on 27th March 2013 he joined the risk committee of the bank. He stepped down from these positions on 31st March 2015.
These board positions required him to interact intensively with internal and external auditors as well as with prudential and conduct regulators, both in the UK and internationally. Further, this combination of professional and board experience has allowed him to advise on a variety of different issues – notably governance, audit, financial reporting. In terms of cases handled as an expert, the most important is the Pottage case, which has turned out to be a landmark case in the regulatory treatment of senior executives. He is recognised as a Skilled Person by the PRA/FCA.
- 2007 – 2009, Director, LECG, London
- 2006 – 2007, Head of Financial Service Consulting Practice, BearingPoint Inc.
- 2004 – 2005, CEO Sales & Business Development Europe, Aon Corporation
- 2002 – 2004, Partner of Financial Services UK, Diamond Cluster International
- 2002 – 1973, Various Positions and Head of Global Financial Services, Arthur Andersen
Stephen uses his financial services and board experience to support litigation and regulatory disputes involving many aspects of governance, valuation, reporting and management in the industry. He has recently led or participated in teams supporting litigation or contention involving:
- Four different matters requiring expert testimony in disputes involving the auditors of failed banks where the actions of the relevant regulators were in point.
- Advice to investors in a failed bank of the issues around the regulatory supervision and external audit of the bank.
- Expert testimony in arbitration between a majority investor in a bank and the government which expropriated the institution. Testimony covered all aspects of our client’s claim.
- Disciplinary action against the auditors of a bank.
- Advising a major investment bank on issues around loss recognition for complex structured products under IAS39 arising from litigation against it
- Expert testimony in defence of an action against Allied Irish Banks and the Irish Minister of Finance brought by bond investors whose bond holdings were the subject of a ‘haircut’
- Advice on the commercial and accounting aspects of the transfer of assets in a troubled bank
- The interpretation of what constitutes cost of funds in defaulted ISDA contracts
- Defending a UK government agency against a major claim brought against it
- Reporting to the Irish Chartered Accountants’ Regulatory Board on the actions of the chairman of Anglo Irish Bank
- Litigation against the auditors of an investment fund
- Advising stakeholders in a lender in administration on the prospects of success in an action against the firm’s auditors
- Expert testimony in the defence of the manager of a master diversified event-driven hedge fund against a winding up petition brought by a group of investors alleging breach of mandate and mismanagement
- Expert testimony in proceedings by two investment funds against the administrators and custodians of the funds resulting from major losses in those funds
- Expert testimony on the valuation of two banks that had been expropriated by the governments in their countries of operation
- Expert testimony in in the English High Court in defence of John Pottage, the ceo of UBS’ UK wealth management business, in relation to action brought by the FSA and his appeal against a ruling by the RDC
- Expert testimony in action against a senior director of a public company over the release of allegedly misleading information to the market
- Action against a stockbroker over losses arising over an alleged breach of discretionary mandate
- Expert testimony in relation to a claim against an underwriter in relation to their due diligence on a large equity offering.
- Major disputes between two banks and the revenue authorities over what constituted lending in the normal course of business
- Investors in a failed UK bank and the UK Government over compensation
- Expert testimony in proceedings between a company and its directors, and certain investors, over a proposed refinancing of the company
- The claims of noteholders in a diversified company with substantial financial services interests
He has advised a mutual life assurance company on the regulatory consequences of the planned disposal of its businesses. He has also reviewed the governance of an investment bank as a Skilled Person.
In his previous roles, he has:
- Reviewed internal controls, and risk management organisation and processes, at over 20 banks and trading firms, and oversaw the implementation of recommendations for change.
- Worked on business and operational strategy projects at eight stock and derivatives exchanges, including, Zurich (SOFFEX), Frankfurt (DTB). London (LSE) and Madrid (Bolsa de Madrid).
- Led a project to bring into existence a new investment bank.
- Led a project to investigate trading losses at a leading bullion dealer and in the trading operation of one of world’s largest oil companies.
At Arthur Andersen, he was the partner in charge of a host of financial services audits covering almost all sectors of the industry – retail, corporate and investment banking; insurance broking; derivatives trading and broking; commodity trading; asset management, as well as investment fund vehicles. Many of these audits required detailed knowledge of the workings of derivative products and the markets on which they are traded, the pricing and accounting valuation of these products, as well as the methods and organization required to manage derivative trading business.
He wrote Arthur Andersen’s publications on the accounting and control of financial futures and commodity trading operations and has contributed to books on the accounting and management of financial trading operations.
He has spoken at many conferences, both in the UK and overseas, on the subject of derivative products, and related accounting and risk management issues. He addressed the Risk Management Association (a private group of risk managers from the largest banks) on issues around the implementation of Basel II. He occasionally addresses internal and external seminars organized by the GFSC.
In November 2010, he gave both written and oral evidence on auditing to the House of Lords Select Committee on Economic Affairs.