Network spends £700k settling Keydata and Arch claims

clock

The Whitechurch Network spent more than £704,000 in 2013 settling claims related to advice given by its appointed representatives on Keydata and Arch Cru.

The £704,313 cash outflow, which the group said had been provided for in previous years and was covered by its professional indemnity insurance, was "predominantly" down to Keydata and Arch Cru liabilities. The Financial Services Compensation Scheme (FSCS) is attempting to pursue financial advisers who recommended clients invest in the now-collapsed Keydata Investment Services. The Financial Conduct Authority also requires advisers who mis-sold Arch Cru to compensate their clients. The network was understood to be among the lead defendants in a FSCS test case which is set to determine...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FCA urges principal firms to check PII cover

FCA urges principal firms to check PII cover

Regulator finds 10% of sampled firms may not have adequate cover in place

Isabel Baxter
clock 28 February 2025 • 1 min read
FCA to undertake MPS Consumer Duty review

FCA to undertake MPS Consumer Duty review

Regulator recognises the sector has been ‘growing at pace’

Isabel Baxter
clock 26 February 2025 • 2 min read
FCA ongoing services wish lists: 'Advice shouldn't be like a car tax reminder'

FCA ongoing services wish lists: 'Advice shouldn't be like a car tax reminder'

FCA urged to adopt a 'more principled and realistic approach'

Jen Frost
clock 25 February 2025 • 3 min read