The Monetary Conduct Authority (FCA) has imposed restrictions on KBFS Monetary Restricted following issues over its failure to pay redress to former members of the British Metal Pension Scheme.
The regulator stated the Weymouth-based recommendation agency has failed to interact with it in an open and cooperative manner.
KBFS (FRN: 831504) didn’t present the regulator with data requested about its monetary place and Monetary Ombudsman Service awards it was as a result of pay out.
The regulator stated it seems KBFS has did not pay the redress awarded by the FOS in relation to unsuitable pension-transfer recommendation given to five purchasers with a defined-benefit occupational pension scheme with British Metal.
The restrictions on KBFS embody stopping it from carrying on any regulated actions and limiting entry to its belongings.
The restriction has been positioned on KBFS since 24 October.
In current months quite a lot of monetary advisers and companies have been sanctioned over their actions over BSPS pension transfers.
Final month Swansea monetary adviser Simon Hughes was banned by the FCA and made to pay £158,600 redress for “negligent” pension recommendation which led to £8m compensation being paid to his BSPS-member purchasers.
In September the FCA banned Darren Reynolds and Andrew Deeney of Lively Wealth Restricted for dishonest pension switch recommendation. Mr Reynolds suggested 150 BSPS members to place their cash into investments that the regulator stated he knew weren’t appropriate for them.
Forty monetary recommendation companies hit by BSPS claims have to date failed with an extra seven beneath investigation, newest FSCS information reveals.
Claims regarding the 40 recommendation companies which went out of enterprise earlier than 28 February at the moment are being dealt with by the Monetary Companies Compensation Scheme.
Compensation prices are anticipated to run into the thousands and thousands as most of the recommendation companies have failed.
Many advisers linked to BSPS failed companies have been banned or fined or each.