British watchdog charges two brothers over collapsed peer-to-peer lender

LONDON - Britain's financial watchdog said on Friday it has begun criminal proceedings against two former directors of Collateral UK Ltd, a peer-to-peer lender that has now collapsed.

The Financial Conduct Authority said brothers Peter and Andrew Currie each face two fraud charges and one proceeds of crime charges, and are due to appear before a court in London on Jan. 26. The Curries could not immediately be reached for comment.

"The FCA alleges that the Curries, who are brothers, dishonestly represented to investors that Collateral was authorised and regulated by the FCA to operate as a peer-to-peer lender knowing this was untrue," the FCA said in a statement.