FCA approach to handling of Connaught complaints about FSA/FCA
Following the report of Raj Parker's "Independent Review into the FSA and FCA's handling of the Connaught Income Fund Series 2 and connected companies", the Financial Conduct Authority (FCA) has published a statement setting out its approach to assessing complaints relating to the Financial Services Authority's (FSA) and FCA's handling of the Connaught Income Fund Series 1.
The FCA advises that most complaints received from investors concerning the FSA and FCA's actions in its handling of the collapse of the fund were investigated, determined with decision letters and closed in 2017. At that time, complainants were informed of their right, if they were dissatisfied with the FCA's decision, to refer their complaint to the Office of the Complaints Commissioner.
In respect of these complaints, the FCA committed to reconsidering the issue of remedies once the independent review was published. The FCA has now reconsidered these complaints taking account of its statement on its approach to remedies under the complaints scheme, the relevant factors in the complaints scheme and the statutory framework within which it operates.
The FCA considers an apology is the most appropriate remedy in the circumstances. It will contact the complainants directly to provide this apology.
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Authored by Yvonne Clapham