Wealthy HSBC banker is banned from the City for dodging £5,900 in train fares after using 'doughnutting' ticket scam on commutes from £2m home

Published: 04:49 EDT, 2 October 2026 | Updated: 04:58 EDT, 2 October 2026 A wealthy HSBC banker has been banned from the City after dodging £5,900 in train fares using a 'doughnutting' ticket scam. The Financial Conduct Authority said it barred Joseph Molloy from working in any regulated financial services role because his fraud conviction 'shows he lacks honesty and integrity'. Molloy, 53, used what prosecutors described as a 'sophisticated' ticketing ruse to slash thousands of pounds off the cost of commuting from his £2million home in Orpington, south London, to HSBC's headquarters in Canary Wharf. He bought tickets covering the start and end of his route, but not the stations in between. The tactic, known as 'doughnutting', exploits ticket barriers to create a 'hole' in payment for part of the journey.The multi-millionaire also secured Jobcentre Plus discounts giving him 50 per cent off fares. He admitted fraud by false representation in February and was handed 10 months' imprisonment, suspended for 18 months. The Financial Conduct Authority said it barred Joseph Molloy from working in any regulated financial services role because his fraud conviction 'shows he lacks honesty and integrity'He was also ordered to complete 80 hours of unpaid work, banned from Southeastern for a year and told to pay £5,000 compensation. Molloy worked for HSBC Asset Management as head of passive equity, a form of investing that aims to match the returns of a specific market or index. He held the role until he retired last year, carried out his scam at least 740 times, saving £5,911 over 11 months. It was not disclosed how he was caught. Prosecutor Jack Furness described the scheme as 'sophisticated in planning and execution'. Between October 2023 and September 2024 Molloy used false names and addresses to obtain two smartcards loaded with tickets, alongside the Jobcentre Plus discounts. He initially declined to comment in a police interview but later made a full confession when confronted with the evidence. His barrister, Will Hanson, said he had been under stress due to health issues and his mother's death. He described the fraud as 'discreet', committed against a large private company rather than an individual, and said Molloy had a distinguished career and was a devoted father active in his church and community. The 53-year-old commuted from his £2million home in Orpington, south London, to HSBC's headquarters in Canary Wharf.Recorder Alexander Stein said Molloy was 'a man of some financial means' who could afford his fares. He branded the offending 'persistent and serious' and said its sophistication merited jail, but suspended the sentence due to strong mitigation. After the hearing, the banker changed his clothes and vaulted a wall in an apparent attempt to avoid photographers.Fare evasion costs the rail industry an estimated £240million a year, according to the Rail Delivery Group. Companies are now testing GPS technology to help clamp down on 'doughnutting'.The FCA said yesterday that Molloy had 'informed the authority that he accepts that he fell below the standards of behaviour expected by the authority'. He has not lodged a challenge.HSBC was contacted for comment.