The Monetary Companies Compensation Scheme has launched an investigation into Newport-based Prism Unbiased Monetary Advisers Ltd (FRN: 515431).
The FSCS is investigating whether or not Prism was concerned in regulated actions that will give rise to legitimate claims.
Prism is without doubt one of the recommendation agency related to claims linked to the British Metal Pension Scheme (BSPS).
The FSCS was unable to share claims figures as Prism has not but been declared in default.
In 2017, many British Metal employees have been suggested to switch out of their outlined profit pension into an outlined contribution pension comparable to a Private Pension Plan or a Self-Invested Private Pension (SIPP).
The FSCS mentioned that by transferring to a non-public pension association, they might have misplaced the advantages already constructed up within the British Metal Pension Scheme and that it might not have been life like to attain the identical stage of advantages from their new plan.
The agency was primarily based in Newport, Gwent and ceased to be authorised after 23 September 2020 when the agency entered a solvent liquidation (members’ voluntary liquidation). It was a regulated agency and was authorised from 2009.
The agency lately transformed to a collectors’ voluntary liquidation, an insolvency course of which satisfies the primary situation for FSCS declaring a default – that the agency will be unable to satisfy the prices of any claims itself. This implies the FSCS is now investigating particular person claims and if a legitimate one is recognized the agency may be declared in default.
The FSCS is encouraging anybody who could have legitimate claims in opposition to the agency to return ahead.
A number of monetary recommendation companies have discovered themselves caught up within the BSPS scandal.
Final month the FSCS launched an investigation into Chester-based pension adviser Arrow Monetary Companies UK Ltd, buying and selling as Arrow Asset Administration (FRN 528826).
Earlier this month the FCA censured Quilter-owned Lighthouse Advisory Companies Restricted for critical recommendation failings in relation to the British Metal Pension Scheme which resulted in £23m paid in redress to purchasers, a few of them pension switch purchasers.