The Financial Services Compensation Scheme (FSCS) has announced it will accept claims from clients of Wellington Court Financial Services Ltd.
The FSCS is a Government-funded lifeboat compensation scheme for customers of failed authorised financial services firms. This means that the FSCS can pay compensation if a firm is unable, or likely to be unable, to pay claims against it. In a recent update, the FSCS has confirmed that is now dealing with customers’ claims against Wellington Court Financial Services Ltd (Wellington Court).
Upheld FOS complaints
+ −Wellington Court carried out pension transfer and investment business between 2015 and 2021, advising clients to transfer their money into a Self-Invested Personal Pension (SIPP) administered by Guinness Mahon Trust Corporation Ltd.
A large number of complaints were submitted to the Government-backed watchdog, the Financial Ombudsman (FOS) after investors’ money had been placed in unsuitable and risky investments causing customers to lose out financially. Some investments could not be sold or traded. Guinness Mahon ceased trading in 2020.
FOS upheld many of the claims and ordered compensation payments to be paid by Wellington Court. Now, the FSCS has said that Wellington Court has ‘failed to satisfy’ the FOS awards and is looking to see if out-of-pocket customers can be compensated through the lifeboat scheme.
What next for investors?
+ −Commenting on the FSCS’ announcement, Head of Professional Negligence at TLW Solicitors, Sarah Spruce said:
“The FSCS is asking anyone who believes they received poor financial advice from Wellington Court to explore making a claim. These will be considered on a case-by-case basis.
The FSCS will also look at cases where Wellington Court may have arranged the transfer rather than providing advice.
Our team is already working with a number of individuals making claims and we have the knowledge and expertise to help you progress your claim for compensation. Please do get in touch for a no-obligation discussion.”
SIPP Claim Specialists
+ −Pension mis-selling occurs when financial advisers convince pension holders to invest their money into a scheme that promises high returns on very risky and often unregulated investments.
TLW Solicitors has a dedicated SIPP and Pensions mis-selling claims team. Working on a ‘no win – no fee’ basis, TLW’s experienced team can help you through the FSCS compensation process. Our clients are reassured by our knowledge and experience of FSCS procedures and, indeed, we have had FSCS claims successfully upheld for clients whose claims had previously been refused on purely technical grounds.
As highlighted in our earlier article, which can be found here, TLW Solicitors are helping a number of Wellington Court customers claim compensation.
TLW Solicitors can help
+ −If you think that you, a friend or a loved one may have lost out financially as a result of investments involving Wellington Court, Guinness Mahon or Dolphin Capital/German Property Group, then contact TLW Solicitors for a no-obligation discussion.
To get in touch with TLW’s specialist financial mis-selling lawyers, call us on 0800 169 5925, email info@tlwsolicitors.co.uk or complete the call back form below.
It is important to get advice as soon as possible as strict time limits can apply.
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