i-law

Compliance Monitor

Are solicitor firms complying with insurance regulation?

14 January 2005 represented an important date for many law firms up and down the country, but do they know it and why? Philip Ryley, solicitor and John Virgo, barrister set the scene and question how prepared the profession has been for the regulation of general insurance mediation activities.
Online Published Date:  01 February 2005

Dangerous waters – issues to consider

This note addresses some of the issues raised by the case study. It is not a model answer to the case study – indeed, it would be impossible to provide one – rather it highlights areas of concern and practical ways in which concerns might be addressed. This note does not constitute legal advice from Denton Wilde Sapte. In the case of a specific problem, it is recommended that professional advice be sought.
Online Published Date:  01 February 2005

Is self-regulation dead and buried?

Compliance Monitor never seems to be short of material from the arena of FSA regulation, writes Adrian Lloyd, Compliance Director, Banking Code Standards Board. The addition of mortgages to the FSA’s brief in October last year and general insurance at the time of writing in January 2005 have set major new challenges for the compliance community and their business colleagues. They have also left so little outside the statutory domain that some may think the death knell of voluntary regulation has sounded…
Online Published Date:  01 February 2005

Dangerous waters – a conflicts workshop (2)

by Denton Wilde Sapte
Online Published Date:  01 February 2005

The Legal & General Tribunal decision: analysing the entrails

18 January 2005 was a red-letter day for consumer financial services compliance. The Financial Services and Markets Tribunal’s (FSMT) decision on Legal and General’s challenge to its fine by the FSA for endowment misselling represented the first occasion when the Tribunal has expressed its views on the type of compliance issues that affect vast numbers of consumers. Adam Samuel studies the ruling and reflects on the ramifications.
Online Published Date:  01 February 2005

Read IFA fined £150,000 for “pensions unlocking”

Up to 1,100 customers were put at risk by the failure of Read IFA to act in their best interests when it advised on pensions unlocking in the period September 2000 to January 2003. The FSA found that Read had not conducted its business with due..
Online Published Date:  01 February 2005

Prohibition for Michael Harding who “paid no heed” to Pension Review regulatory and compliance standards

Michael Harding, former senior partner at the Michael Harding Partnership (MHP), financial advisers, has been prohibited from acting as an approved person for deliberately misleading both colleagues and the FSA over the firm’s Pensions Review...
Online Published Date:  01 February 2005

Robert Bonnier pays £290,000 and Indigo Capital £65,000 for market abuse

Mr Bonnier, a managing partner of Indigo Capital LLC, traded in Regus’s shares and CFDs referenced to Regus’s shares with Cantor Fitzgerald Europe Limited (Cantors) under terms by which Cantors retained ownership and voting rights of..
Online Published Date:  01 February 2005

Axa Sun Life pays £500,000 for misleading advertisements

Excessive focus on the benefits of the Bonus Cash Builder Plus Plan (BCP) and the Guaranteed Over 50 Plan (GO50) and insufficient emphasis on the attendant product risks, coupled with internal systems and controls weaknesses in financial promotions..
Online Published Date:  01 February 2005

Bradford & Bingley fined £650,000 for misselling precipice and with-profit bonds

In addition to a hefty fine of £650,000, Bradford and Bingley Plc (BB) will pay £6million in compensation to 6,800 customers who were missold precipice (SCARPs) and with-profit bonds (WPBs) between January 2001 and December 2002, when the..
Online Published Date:  01 February 2005

Pace out of step with Listing Rules runs up £450,000 fine

In its third action in the last 12 months for a breach of the Listing Rules, the FSA has penalised Pace Micro Technology £450,000 for failing to publish without delay information that would be likely to lead to a substantial movement in its..
Online Published Date:  01 February 2005

Mobile promotion costs Cantor Index £70,000 penalty

Weak procedures for prior approval of financial promotions at spread betting company, Cantor Index, have resulted in a £70,000 FSA fine. Although the firm’s Compliance Manual stated that all marketing copy should be approved by compliance..
Online Published Date:  01 February 2005

FSA warns mortgage endowment providers on complaints handling

Clive Briault, FSA Managing Director, Retail Markets fired a shot across the bows of mortgage endowment providers at the beginning of January when, in a letter to chief executives, he observed, “Firms should not manage their own caseloads by..
Online Published Date:  01 February 2005

No more “soft and cuddly” for Hemscott as FSA financial promotion monitors bite

Share tipster company Hemscott Investment Analysis Ltd was fined £50,000 in January for lack of appropriate systems and controls over production and distribution of financial promotions that were misleading; in the management conflicts of..
Online Published Date:  01 February 2005

Closing the split

The FSA and 18 firms involved in the management and sale of split capital investment trusts agreed on Christmas Eve that £194m would be paid into a fund to cover losses incurred by eligible investors in zero dividend preference shares and..
Online Published Date:  01 February 2005

News

GI-Day welcomes 40,000
Online Published Date:  01 February 2005

Continuity and change

Timon Molloy, Editor
Online Published Date:  01 February 2005

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