IFA Willow Financial has been forced into administration over £1.5m in liabilities relating to its Arch Cru advice - but has been bought back by some of its former partners at a knock-down price, and they won't be footing the bill for claims.
The administrator's report into the firm states that Willow found itself in trouble after the regulator ordered firms to review the Arch Cru advice they had given and offer redress if it was found to be unsuitable. Upon reviewing its files, Willow found that the Arch Cru funds had mainly been marketed as low risk and, as such, a "significant" number of claims were expected. The administrator's report puts the figure for potential Arch Cru claims at £1.5m, in addition to claims from two former clients at the Financial Ombudsman Service (FOS) which totalled £70,000 and which Willow coul...
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