FSCS starts paying compensation to London Capital & Finance customers who received misleading advice

Maria Nikolova

So far FSCS has issued 281 decisions and paid £5,155,344 in compensation to LCF customers.

The UK Financial Services Compensation Scheme (FSCS) today provided an update to clients of London Capital & Finance (LCF).

FSCS says it has started paying compensation to customers who received misleading advice from LCF. So far the body has issued 281 decisions and paid £5,155,344 in compensation to LCF customers.

FSCS has set up a specialist team, focused on reviewing advice claims on a case by case basis. The body has been able to review claims without customers needing to take any action.

During June, FSCS gained access to an additional 100,000 emails held within LCF’s email server. This evidence provides more information for the body to assess.

While the Scheme had expected to reach decisions on the majority of LCF claims by the end of September, assessing this additional information will now extend the timeframe for processing claims. This new evidence is also likely to lead to an increase in the number of LCF customers that will be eligible for compensation.

FSCS is recalculating the timeframe for processing claims and will provide an update in its next communication before the end of July.

Earlier this week, the UK Financial Reporting Council (FRC) confirmed that it had commenced three investigations into the audits of London Capital & Finance plc. The investigations will cover the audits for the one month period ended 30 April 2015 (carried out by Oliver Clive & Co.), the year ended 30 April 2016 (carried out by PwC) and the year ended 30 April 2017 (carried out by EY).

The probe will be conducted by the FRC’s Enforcement Division under the Audit Enforcement Procedure.

Read this next

Digital Assets

Binance executives sue Nigerian authorities over rights violation

Two senior executives from Binance have filed a lawsuit against against Nigeria’s national security adviser’s office and its anti-corruption agency, alleging violations of their fundamental rights.

Retail FX

Banxso announces 8.7% interest rate on deposits in South Africa

“With Banxso, they can enjoy the benefits of both worlds – earning competitive interest and having the freedom to trade, all within the same platform.”

Industry News

FINRA to publish transaction details in U.S. Treasury securities

“Consistent with our longstanding practice, FINRA is introducing greater transparency in a calibrated and careful manner, benefiting liquidity and resilience in this critical market while also mitigating potential information leakage concerns.”

Institutional FX

OpenYield launches “cheap and easy” fixed income trading for brokers

“We’re on a mission to make bonds cheap and easy to trade, and are excited about the opportunity to build generational capital markets infrastructure.”

Digital Assets

Sumsub and Mercuryo publish a guide for VASPs: “Mastering Travel Rule Compliance”

“At Sumsub, we’ve concentrated our efforts on filling the gap in understanding the complexity of Travel Rule regulation and helping organizations find the best solution to stay safe and compliant while minimizing costs and avoiding potential risks of non-compliance. This guide we created with Mercuryo, our trusted partner, is the ultimate navigation tool all VASPs can consult.”

Digital Assets

Bitget Wallet Leads with Record Swap Volume & New Crypto Innovations

This week, Bitget Wallet achieved a milestone by surpassing Metamask with a record 388,757 Swap order transactions, securing the global lead. The significant 7-day trading volume, almost 68,000 more than its rival, underscores its liquidity and user trust. This robust activity signals Bitget Wallet’s prominent role and reliability in the dynamic crypto market.

Digital Assets

Embarking on a Digital Currency Journey

Imagine you’ve stumbled upon a treasure map, leading you to untold riches hidden in the vastness of the internet. Instead of gold coins and jewel-encrusted goblets, this treasure comes in the form of digital currencies, the modern-day loot coveted by many.

Reviews

Traders Union Experts Share The Trading Analyst Review For 2024

Navigating options trading in rapidly shifting markets poses a considerable challenge. This is where options trading alert services become invaluable. They aid traders in keeping abreast of evolving opportunities and market trends. In this assessment, Traders Union experts scrutinize The Trading Analyst alert service to ascertain its efficacy. 

Digital Assets

BlockDAG’s Presale Achieves $9.9M: Aiming For A 5000-Fold ROI As Cardano’s Price Rises And Fantom Launches Sonic

Explore Cardano’s surge, Sonic’s efficiency, and why BlockDAG’s growth makes it the top crypto choice. A deep dive into the future of blockchain investments.

<